Suppose that in an hour Joe can prepare 10 sandwiches or 5 pizzas. The opportunity cost of Joe producing one sandwich is

A) 2 pizzas.
B) 1/2 pizza.
C) 5 pizzas.
D) 1 pizza.

B

Economics

You might also like to view...

A company finds that at its present level of production, MR = MC at $14, MC = AVC at $15, and MC = ATC at $20. Your advice to the firm regarding its short-run operations is

A. to continue production at a loss. B. to shut down. C. to continue production, as it is earning an economic profit of $1 per unit. D. to continue production, as it is earning an economic profit of $6 per unit.

Economics

If the cost of the Department of Agriculture's minimum food budget for two people is $2,000 per year, the official poverty line for a family of two would be

A. $667. B. $2,000. C. $6,000. D. $12,000.

Economics