(Table: iPhone and iPod Production) According to the table oniPhone and iPod Production, the opportunity cost of producingone iPhone is:
A)4/3 of one iPod for Canada, and two iPods for the United States.
B)two iPods for Canada, and four iPods for the United States.
C)3/4 of one iPod for Canada, and one iPod for the United States.
D)one iPod for Canada, and 3/4 of one iPod for the United States.

Question

(Table: iPhone and iPod Production) According to the table oniPhone and iPod Production, the opportunity cost of producingone iPhone is:
A)4/3 of one iPod for Canada, and two iPods for the United States. 
B)two iPods for Canada, and four iPods for the United States. 
C)3/4 of one iPod for Canada, and one iPod for the United States. 
D)one iPod for Canada, and 3/4 of one iPod for the United States.

Quizplus · Accepted Answer

According to the table, Canada can produce 4 iPods or 3 iPhones in the same amount of time, while the United States can produce 6 iPods or 4 iPhones in the same amount of time. Therefore, the opportunity cost of producing one iPhone in Canada is 3/4 of one iPod, and the opportunity cost of producing one iPhone in the United States is 6/4 or 1.5 iPods. Choice C is the only option that correctly reflects these opportunity costs.

(Table: IPhone and IPod Production) According to the Table OniPhone