ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Question
. Refer to Figure 3-3. Tanek’s
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a. |
3/4 taco and Barb’s opportunity cost of one burrito is 1/2 taco. |
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b. |
3/4 taco and Barb’s opportunity cost of one burrito is 2 tacos. |
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c. |
4/3 tacos and Barb’s opportunity cost of one burrito is 1/2 taco. |
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d. |
4/3 tacos and Barb’s opportunity cost of one burrito is 2 tacos. |
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Opportunity cost indicates the forgone benefits from the next best alternative.
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