The Table Given Below Shows the Export and Import Values

question 35

Multiple Choice

The table given below shows the export and import values of automobiles, pharmaceuticals, and clothing in country A and country B. $$\begin{array} { | c | c | c | } \hline \text { Country A } & \text { Exports (\$billions) } & \text { Imports (\$billions) } \\\hline \text { Automobiles } & 20 & 40 \\\hline \text { Pharmaceuticals } & 30 & 30 \\\hline \text { Clothing } & 40 & 0 \\\hline\end{array}$$ $$\begin{array} { | c | c | c | } \hline \text { Country B } & \text { Exports (\$billions) } & \text { Irmports (\$billions) } \\\hline \text { Autornobiles } & 0 & 20 \\\hline \text { Pharmacenticals } & 40 & 40 \\\hline \text { Clothing } & 45 & 35 \\\hline\end{array}$$ In country A, the product with the highest intra-industry trade (IIT) share is _____ and the product with the lowest IIT share is _____.

• A)automobiles; pharmaceuticals
• B)pharmaceuticals; clothing
• C)clothing; automobiles
• D)clothing; pharmaceuticals

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Definitions:

Variable Overhead

A redefinition of variable manufacturing overhead; variable overhead encompasses all variable expenses involved in the operation of a business that are not directly tied to a specific product unit.

Standard Quantity

A benchmark or norm for the amount of materials or labor expected to be used during the production of a good or service.

Direct Materials

Direct materials are the raw materials that are directly traceable and integral to the finished product in the manufacturing process.

Variable Manuf. Overhead

Costs of manufacturing overhead that vary with the level of production activity.