--%>
Assignment Help - homework help

Computing opportunity cost of producing textiles rather food

Country C is able to generate seven pounds of food or four yards of textiles per unit of input. Calculate the opportunity cost of producing food rather than textiles.  Also, compute the opportunity cost of producing textiles rather than food.

E

Expert

Verified

The opportunity cost of producing food rather than textiles is one yard of textiles per 7/4 = 1.75 pounds of food.  The pound of food has an opportunity cost of 4/7 = .57 yards of textiles.

   Related Questions in Financial Accounting

  • Q : Calculation of NPV Calculation of NPV:

    Calculation of NPV: Calculation of NPV is done through the same method of discounting as described above. However in this case the rate is predefined for  discounting. It is the cost of overall long term resources, whether debt or equity. This co

    		•
  • Q : Impressions using stereotypes How we

    How we form impressions by using stereotypes. Explain? Is stereotyping always negative? Give an example.

    		•
  • Q : Success and failure of the employees

    What are the reasons for the success and failure of the employees ?

    		•
  • Q : Categories under budgets are divide

    Write down the chief categories under which budgets are divided?

    		•
  • Q : Relative and absolute purchasing power

    Explain about the purchasing power parity, both the relative and absolute versions. List the things which results in the deviations from purchasing power parity?

    		•
  • Q : Explain the term Fixed Assets Explain

    Explain the term Fixed Assets and what are their advantages in production or business aims?

    		•
  • Q : Cause why relationships tend to come

    Identify and briefly explain the patterns in terms of how relationships tend to come apart (not together) or deteriorate. Use a real or hypothetical illustration to describe each of such phases.

    		•
  • Q : Uncertainty in dollar/franc exchange

    Suppose that your company has an equity position within the French firm. Explain some of the condition under which the dollar/franc exchange rate uncertainty does not have the exchange exposure for your company.

    		•
  • Q : Challenges of long distance relationship

    My friend is in a new long distance relationship. My friend wants to ask to identify the challenges or difficulties of long-distance romantic relationships and explain communication strategies for coping with these challenges. The res

    		•
  • Q : Services offered by international banks

    Discuss some of services which international banks offer to their customers and market place.

    		•