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Blizzard [7]
2 years ago
6

Say that Alland can produce 32 units of food per person per year or 16 units of clothing per person per year, but Georgeland can

produce 36 units of food per year or 18 units of clothing. Which of the following is true?
a. Georgeland has an absolute but not a comparative advantage in producing clothing.
b. Georgeland has both an absolute and a comparative advantage in producing clothing.
c. Alland has an absolute but not a comparative advantage in producing food.
d. Alland has both an absolute and a comparative advantage in producing food.
Business
1 answer:
irinina [24]2 years ago
5 0

Answer:

Option (a) is correct.

Explanation:

Alland can produce 32 units of food per person per year or 16 units of clothing per person per year:

Opportunity cost of producing a unit of food = (16 ÷ 32)

                                                                          = 0.5 units of clothing

Opportunity cost of producing a unit of clothing = (32 ÷ 16)

                                                                                = 2 units of food

Georgeland can produce 36 units of food per year or 18 units of clothing:

Opportunity cost of producing a unit of food = (18 ÷ 36)

                                                                          = 0.5 units of clothing

Opportunity cost of producing a unit of clothing = (36 ÷ 18)

                                                                                = 2 units of food

Therefore, the Georgeland has a absolute advantage in producing both the goods because it can produce more quantity of both the goods with the same resources as Alland. But the Georgeland has not having comparative advantage in producing either of the goods.

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Profit = Revenue - Cost

However, in the table given, the number of bikes produces varies. We cannot properly compare the profits per day. To be consistent, let us determine the profit per unit of bike produced. Simply divide the profit with the number of bikes produced (1st column). After you see the results, we can see that the highest profit is $17.5 per unit of bike produced. Therefore, the maximum profit can be attained when 4 bikes are produced each day.

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2 years ago
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A bond with a coupon rate of 7% makes semiannual coupon payments on January 15 and July 15 of each year. The Wall Street Journal
VladimirAG [237]

Answer:

The invoice price of the bond will be $100,127.88

Explanation:

Bonds are nothing but the debt instrument which a company uses to raise capital from the general public, these bonds can be of both short and long term period.

In the question it is given that bond has a coupon period of 182 days which means the bond is of short term period. Coupon rate of 7% means the bond gives the interest of 7% to its holder semiannually every year on January 15 and July 15.

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now we have to calculate the interest, remember the semiannually payment of interest has already been made on January 15 which means we have to find interest for only 15 days which will be taken out on par value

INTEREST = $1000 x 7% x 15 / 30

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                 = $35

INVOICE PRICE = INTEREST X \frac{TOTAL \: NUMBER \: OF \: DAYS}{COUPON \: PERIOD}   + Ask price

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Now adding this amount in to ask price

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Which of the following, if true, would strengthen the argument to use coercive techniques in this situation?A) The company is on
irinina [24]

Answer:

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If the company finds itself in difficult times due to work issues, then this weakens the argument for using coercive techniques.  

Now, if the company has the luxury of hiring temporary workers to take care of the backlog and finish it on time, then this could further weaken the need for coercion.  

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Answer:

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