The United Kingdom must give up the production of 300 motorcycles to produce 20 additional convertible Jaguars with the same resources. The opportunity cost of producing five convertible Jaguars is _____ motorcycles.

Question

Quizplus · Accepted Answer

The opportunity cost of producing 20 convertible Jaguars is 300 motorcycles, so for 5 Jaguars (which is 1/4 of 20), the opportunity cost would be 1/4 of 300 motorcycles, which is 75 motorcycles.

The United Kingdom Must Give Up the Production of 300