Multiple Choice
Table 1.1 shows the hypothetical trade-off between different combinations of Stealth bombers and B-1 bombers that might be produced in a year with the limited U.S.capacity,ceteris paribus.Complete the table by calculating the required opportunity costs for both the B-1 and Stealth bombers.
Table 1.1
Production Possibilities for Bombers On the basis of your calculations in Table 1.1,what is the opportunity cost of producing at point S rather than point T?
A) 1 Stealth bomber.
B) 1 B-1 bomber.
C) 10 Stealth bombers.
D) 0.9 Stealth bombers.
Correct Answer:
Verified
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