The Existing Entries in the Following Table Show the Maximum

question 140

Essay

The existing entries in the following table show the maximum quantities of milk shakes or fruit smoothies the college president and dining hall staffer could make during an afternoon shift, given a fixed amount of resources.
a. Fill in the remaining part of the table be sure to label the units) and answer the questions below.
$$\begin{array} { l l l l l } \hline & \begin{array} { l } \text { Number of } \\\text { Milk Shakes } \\\text { per Shift }\end{array} & \begin{array} { l } \text { Number of } \\\text { Smoothies } \\\text { per Shift }\end{array} & \begin{array} { l } \text { Opportunity } \\\text { Cost of 1 } \\\text { Smoothie }\end{array} & \begin{array} { l } \text { Opportunity } \\\text { Cost of 1 } \\\text { Milk Shake }\end{array} \\\hline \text { President } & 50 & 25 & & \\\text { Dining Hall } & 90 & 30 & & \\\text { Staffer } & & & & \\\hline\end{array}$$
b. Who has a comparative advantage in producing smoothies?
c. Who has an absolute advantage in producing milk shakes?

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Definitions:

Agent's Compensation

The payment or reward given to an agent for services performed as outlined in the agency agreement between the agent and the principal.

Contract Law

The body of law that governs the formation, execution, and enforcement of agreements between parties, ensuring the legality of transactions and obligations.

Power of Attorney

A legal paper that provides one individual the power to represent another individual in legal or financial affairs.

Agency Agreement

A contract where one party (the agent) agrees to represent or act for another party (the principal) in business dealings with third parties.