Use the Following to Answer Questions

question 113

Multiple Choice

Use the following to answer questions :
Scenario: The Production of Wheat and Toys The table describes the production of two goods, wheat and toys, in country A and country B. Each country has a linear production possibility frontier with respect to its production of the two goods. The numbers in each column represent the total number of units each country could produce if it used all of its resources to produce the good.
-(Scenario: The Production of Wheat and Toys) Look at the scenario Production of Wheat and Toys. If each country specializes in the good for which it has the comparative advantage, then the price of wheat in terms of toys will be:

• A)between two units of toys and one-third unit of toys.
• B)between two units of toys and three units of toys.
• C)three units of toys.
• D)between one-third unit of toys and one-half unit of toys.

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Definitions:

Respondeat Superior

A doctrine under which a principal-employer is liable for any harm caused to a third party by an agent-employee in the course or scope of employment.

Apparent Authority

Apparent authority refers to a situation in which a person appears to be given power to act on behalf of another, thereby binding the principal through the agent's actions, even if the actual authority has not been granted.

Misrepresentation

The act of providing false or misleading information, intentionally or unintentionally, in a transaction.

Scope of Authority

The boundaries within which decisions can be made or actions can be taken by an agent as authorized by a principal.