Table 3-6
Assume that Maya and Miguel can switch between producing mixers and producing toasters at a constant rate.

-Refer to Table 3-6.The opportunity cost of 1 mixer for Maya is
A) 0.625 toasters.
B) 5 hours of labor.
C) 1.6 toasters.
D) 20 hours of labor.

Question

Table 3-6
Assume that Maya and Miguel can switch between producing mixers and producing toasters at a constant rate.
 
-Refer to Table 3-6.The opportunity cost of 1 mixer for Maya is
A) 0.625 toasters. 
B) 5 hours of labor. 
C) 1.6 toasters. 
D) 20 hours of labor.

Quizplus · Accepted Answer

According to the table, Maya can produce 10 toasters or 6 mixers in 10 hours. Therefore, her opportunity cost of producing 1 mixer is 10/6 or 1.6 toasters.

Table 3-6 Assume That Maya and Miguel Can Switch Between Producing Mixers