Table 3-3
Production Opportunities
-Refer to Table 3-3. Assume that England and France each has 40 labor hours available. If each country divides its time equally between the production of cheese and wine, then total production is
A)8 units of cheese and 10 units of wine
B)24 units of cheese and 15 units of wine
C)40 units of cheese and 20 units of wine
D)48 units of cheese and 30 units of wine

Question

Table 3-3
Production Opportunities  ​
-Refer to Table 3-3. Assume that England and France each has 40 labor hours available. If each country divides its time equally between the production of cheese and wine, then total production is
A)8 units of cheese and 10 units of wine 
B)24 units of cheese and 15 units of wine 
C)40 units of cheese and 20 units of wine 
D)48 units of cheese and 30 units of wine

Quizplus · Accepted Answer

If England and France each divides its time equally between the production of cheese and wine, then each country has 20 labor hours to allocate to each product.

With 20 labor hours, England can produce 4 units of cheese and 5 units of wine (from Table 3-3).

With 20 labor hours, France can produce 6 units of cheese and 3 units of wine (from Table 3-3).

Therefore, the total production would be 10 units of cheese (4 from England and 6 from France) and 8 units of wine (5 from England and 3 from France).

Thus, choice B (24 units of cheese and 15 units of wine) is the best choice.

Table 3-3 Production Opportunities ​

Table 3-3 Production Opportunities