Betty and Ann Live on a Desert Island

question 198

Multiple Choice

Betty and Ann live on a desert island. With a day's labor, Ann can produce 6 fish or 4 coconuts; Betty can produce 3 fish or 1 coconut. Betty's opportunity cost of producing 1 fish is ________, and she should specialize in the production of ________.

• A) 1/3 coconut per fish; fish
• B) 2/3 coconut per fish; coconuts
• C) 1 coconut per fish; fish
• D) 4 coconuts per fish; fish

---

Definitions:

W. Edward Deming

An American engineer, statistician, and management consultant known for his work in the field of quality management and his contribution to Japan's industrial recovery post-World War II.

Organizational Learning

The process through which an organization acquires, develops, and transfers knowledge, skills, and values, improving its effectiveness over time.

David A. Garvin

A renowned academic and author known for his contributions to the fields of business management and quality management.

Boundary-Spanning Subsystem

Part of an organization that interacts with the external environment, facilitating the input and output transactions between the organization and its external stakeholders.