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Online Quizzes

28 Mar

1
Online Quizzes

1. A firm in NSW grows onions, and sells them at the Sydney market for $4 per
kilogram. By adding compost to the firm, owner of the firm can increase his yield
as shown in the following table. If compost costs $10 per bag and goal of the owner
is to make as much profit as possible, how many bags of compost should you add?
(2 marks)

Bags of Compost Kilograms of Onions
0 100
1 110
2 115
3 118
4 120
5 121
6 121

 

2 bags A
3 bags B
5 bags C
6 bags D

2
2. In a computer repairing shop, Tom can repair 10 computers per day or respond to
15 clients by phone per day. Jerry can repair 5 computers per day or respond to 20
clients by phone per day. Who has an absolute advantage in responding to clients?
What is Tom’s opportunity cost of repairing a computer? Who has a comparative
advantage in repairing computers? (2 marks)

Jerry, 2, Tom A
Jerry, 1, Jerry B
Jerry, 1.5, Tom C
Tom, 1.5, Jerry D

3. In the computer repairing shop example, assume that there is only Tom as a worker
in economy. He allocates his time between repairing computers and responding to
clients by phone. Each hour he devotes to repairing computer yields 5 computers,
and each hour she devotes to responding clients yields 10 responds. The number of
Tom’s working hours is 8 hours per day. Use simple algebra, what is the equation
of Tom’s production possibilities curve (PPC)? (2 marks)
Note:
D denotes the number of computers repaired per day and B denotes the number of
responds to clients by phone per day.

 
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Posted by on March 28, 2018 in Academic Writing

 

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