Saturday, July 2, 2011

If Helen gives up the opportunity to bake 40 cakes for each room she paints and Josh can paint one room in the time it takes him to bake 60 cakes,

ECONOMICS

Multiple Choice

If Helen gives up the opportunity to bake 40 cakes for each room she paints and Josh can paint one room in the time it takes him to bake 60 cakes, which of the following is true?

a. The opportunity cost of painting is higher for Helen.

b. The opportunity cost of baking cakes is lower for Josh.

c. The opportunity cost of painting one room is 1/40 of a cake for Helen.

d. The opportunity cost of baking one cake is 60 rooms painted for Josh.

e. The opportunity cost of cakes cannot be computed.

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