This Table Shows How Much Cotton and Cocoa Can Be

question 39

Multiple Choice

This table shows how much cotton and cocoa can be produced in Peru and Brazil with one unit of equivalent resources. $$\begin{array}{l}\begin{array} { | l | c | c | } \hline & \begin{array} { c } \text { Cotton } \\\text { (bales) }\end{array} & \begin{array} { c } \text { Cocoa Beans } \\\text { (bushels) }\end{array} \\\hline \text { Peru } & & 4 \\\hline \text { Brazil } & & 6 \\\hline\end{array}\\\text { TABLE 33-4 }\end{array}$$
-Refer to Table 33- 4. The opportunity cost of a bushel of cocoa beans in Peru is

• A) 1/3 bale cotton.
• B) 1 bale cotton.
• C) 2/3 bale cotton.
• D) 1/6 bale cotton.
• E) 1/2 bale cotton.

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Definitions:

Accounts Receivable

Funds that customers owe a company for products or services that have been provided but remain unpaid.

Sales

The total amount of goods or services sold or provided to customers, generating revenue for a business.

Long-Term Debt To Assets

A ratio indicating the proportion of a company's assets that are financed through long-term debt, showing financial leverage.

Total Assets

The sum of all owned resources with economic value that are expected to provide future benefits to a company.