Question

help please

Madelyn and Dalla had to prepare a presentahon for their class. They must do a series op. coulculations and prepare powerpoint slides. It would take Madelyn. 10 hours to do the calculations and to hours to prepare the slides. It would take dalla 12 hours to prepare the calculations and 20 hours to prepare the slides. A) how much time would it take the two to complete if they diuide the calculations. equally? B) How much time would it take the two to complete the project if they use comparative advantage in calculatings preparing slides) C) If Dalla and madelyn have the same oppurtunity cost of $5 per hour, which soluton is better? Specialnato in as stated in b i or Madelyn does all the work and Dalió pays madelyn $55. Explain

Answer 1

As in the given question, there are two players Hadelyn and Dalia, they both are working in a project in which they have to, first of all, collect all of there data and then they have to make a presentation on it, there individual time for doing both the task are also given thus,

Time taken by Hadelyn for collecting data is 10 hours and for making PPT again he will take next 10 hours thus the total time taken by him to complete the project is 20 hours

Similarly, for Dalia, he takes around 12 hours to collects data and 20 hours to prepare PPT for presentation thus the total time taken by him to complete the project is 32 hours

(A)

Now if they divide the calculation part equally then the total time taken by both of them to complete the project will go down and it will be calculated as follow

as we know the time taken by Hadelyn to do the complete calculation is 10 hours thus to make half of the calculation he will take 5 hours only

time taken to complete half calculation, = 5 hours

whereas the time taken by Dalia to do the complete calculation is 12 hours thus to make half of the calculation he will take 6 hours only

time taken to complete half calculation, = 6 hours

thus now we know that the presentation time remains the same for both of them, so we will calculate the time take by each of them to complete the entire project

time taken by Hadelyn to complete project, (5 +10 ) hours = 15 hours

time taken by Dalia to complete project, (6 +20 ) hours = 26 hours

(B)

So if we will use the concept of comparative advantage then we will find that Hadelyn is good at both the calculation and preparing the PPT  thus it will be better if the entire project will be done by Hadelyn alone and it will be the best option for Dalia, as in the case of comparative advantage we mainly look on who can do best out of all available options thus here we can see Hadelyn is performing better then Dalia in both the segment thus it will be better if he will do the project

optimal time to complete the project by using Comparative advantage method

= 10 hours for collecting data + 10 hour for PPT preparation = 20 hours

(C)

So as we have already calculated above that Hadelyn is better then Dalmia in both the works thus it will be better for Dalmia if he will just pay the opportunity cost to Hadelyn rather then doing it by himself. as it is given that the opportunity cost is $5 and as we have already calculated above that Hadelyn can complete the task within 20 hours and it is the best optimal time that we have whereas Dalmia will take 32 hours thus it will be better if Dalmia will pay Hadelyn  and as the Dalmia take 32 hours whereas Hadeyln is doing it at 20 hours thus Dalmia has to pay for 12 hours of opportunity cost at the rate of $15 per hour

opportunity cost to be given to Hadelyn by Dalmia = $5* 12 = $60

finally, we can say it is better if Hadelyn does all the work and Dalmia pays Hadelyn