If Jason can wash a car in 20 minutes and wash a dog in 10 minutes, and Megan can wash a car in 15 minutes and wash a dog in 15 minutes, which of the following statements is true?
a. The opportunity cost of washing a car is greater for Megan.
b. The opportunity cost of washing a car is one dog bath for Jason.
c. Megan could wash two cars in the time it takes to wash a dog.
d. Jason has both a comparative and an absolute advantage in washing a dog.
e. The opportunity cost of washing a dog is greater for Jason.
D
You might also like to view...
The correct expression for cost plus pricing is
A) Price = Cost (1 + profit margin). B) Price = Cost + profit margin. C) Price = Cost (1 + mark-up). D) Price = Cost + (1 + mark-up).
An economy has two workers, Jen and Rich. Every day they work, Jen can produce 2 TVs or 10 radios, and Rich can produce 4 TVs or 12 radios. What is the opportunity cost for Rich to produce one radio?
A. 4 TVs B. 1/3 TV C. 1/6 TV D. 1/12 TV