-The above table shows production points on Sweet-Tooth Land's production possibilities frontier. What is the opportunity cost of one chocolate bar if Sweet-tooth Land moves from point C to point D?
A) 30 cans of cola per chocolate bar
B) 10 cans of cola per chocolate bar
C) 3 cans of cola per chocolate bar
D) 1/3 can of cola per chocolate bar

Question

-The above table shows production points on Sweet-Tooth Land's production possibilities frontier. What is the opportunity cost of one chocolate bar if Sweet-tooth Land moves from point C to point D?
A) 30 cans of cola per chocolate bar 
B) 10 cans of cola per chocolate bar 
C) 3 cans of cola per chocolate bar 
D) 1/3 can of cola per chocolate bar

Quizplus · Accepted Answer

Moving from point C to point D, Sweet-Tooth Land increases its chocolate bar production by 10 bars (from 40 to 50) and decreases its cola production by 30 cans (from 90 to 60). Therefore, the opportunity cost of producing one additional chocolate bar is 30 cans of cola divided by 10 chocolate bars, which equals 3 cans of cola per chocolate bar.

-The Above Table Shows Production Points on Sweet-Tooth Land's Production