The United States must give up the production of 300 motorcycles to produce 15 additional SUVs with the same resources.The opportunity cost of producing 100 motorcycles is _____ SUV(s) .

A) 1
B) 5
C) 7
D) 15

Question

Waleed Abd El-Khalik · Accepted Answer

Final Answer : B, Explanation :  To produce 15 SUVs, the US must give up the production of 300 motorcycles. This means the opportunity cost of producing 1 motorcycle is 15/300 = 0.05 SUVs. Therefore, the opportunity cost of producing 100 motorcycles is 0.05 x 100 = 5 SUVs.So, the best choice is B.

The United States must give up the production of 300 motorcycles to produce 15 additional SUVs with the same resources.The opportunity cost of producing 100 motorcycles is _____ SUV(s) .

A) 1
B) 5
C) 7
D) 15

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Learning Objectives

Learning Objectives

Related questions

The United States must give up the production of 300 motorcycles to produce 15 additional SUVs with the same resources.The opportunity cost of producing 100 motorcycles is _____ SUV(s) .A) 1B) 5C) 7D) 15

Definitions

Learning Objectives

Learning Objectives

Related questions

The United States must give up the production of 300 motorcycles to produce 15 additional SUVs with the same resources.The opportunity cost of producing 100 motorcycles is _____ SUV(s) .

A) 1
B) 5
C) 7
D) 15