Author Question: Refer to Scenario 1-1. Had the firm not produced and sold the last 3,000 cell phones, would its ... (Read 55 times)

Starlight · **on:** Jun 29, 2018

Refer to Scenario 1-1. Had the firm not produced and sold the last 3,000 cell phones, would its profit be higher or lower, and by how much?

A) Its profit will be 6,000 lower. B) Its profit will be 700 lower.
C) Its profit will be 700 higher. D) Its profit will be 6,700 higher.

Question 2

Refer to Table 2-2. Assume Billie's Bedroom Shop only produces pillows and blankets. A combination of 27 pillows and 14 blankets would appear

A) along Billie's production possibilities frontier.
B) inside Billie's production possibilities frontier.
C) outside Billie's production possibilities frontier.
D) at the vertical intercept of Billie's production possibilities frontier.