Question

The data below show the total production (in millions) of the only two goods produced in Kitchener and Waterloo, two small planets in deep space. Kitchener: 14 kiwis or 11 trucks Waterloo: 7 kiwis or 13 trucks a. The opportunity cost of a kiwi In Kitchener is decimal places 0.79 Trucks Enter your responses for opportunity costs rounded to 2 b. The opportunity cost of a kiwi in Waterloo is 100 trucks . c. The opportunity cost of a truck In Kitchener is kiwis d. The opportunity cost of a truck in Waterloo is 054 kiwis e. before trade, each planet was devoting half its resources to producing each product, then the total amount of each good produced by both planets is 21 kiwis and 24 trucks. If necessary, round your answers for parts (e).. and (g) to 1 decimal place. Remember to round 0.05 up to 0.10. f. If the two planets were to specialize in producing the product they do best, the total amount they could produce is k lwis made by Waterloo and trucks made by Kitchener g. The total gains as a result of specialization is kiwis and trucks

Answer 1

solution: Goods produed in kitchener = 14 million kiwis or 1 million Trucks Goods Prodund in Waterloo = 7m kiwis OR. 13.m. Trucks. a. Opportunity to st- of a kini in kitchener = 0,7857 11 m. Trucks 14 m. kimis = 0.79 m. Trucks b. opportunity Con- of a kiwi in waterloo = 1.8571 13 m. Trucks 7 m. kiwis = 1.86 Trucks.

1 Opportunity Kitchener Cost- of a Truck on = 1.2727 14 mkiwis 11 m Trucks = 1.27 kimis. text of a Truck en d) opportunity waterloo 0.5384 7 mkiwis 13 m Trucks = 0.54 kimid.