A Local Bagel Shop Produces Two Products: Bagels (B)and Croissants

question 14

Multiple Choice

A local bagel shop produces two products: bagels (B) and croissants (C) . Each bagel requires 6 ounces of flour, 1 gram of yeast, and 2 tablespoons of sugar. A croissant requires 3 ounces of flour, 1 gram of yeast, and 4 tablespoons of sugar. The company has 6,600 ounces of flour, 1,400 grams of yeast, and 4,800 tablespoons of sugar available for today's production run. Bagel profits are 20 cents each, and croissant profits are 30 cents each. What is the objective function?

• A)$.30 B + $.20 C = Z
• B)$.60 B + $.30 C = Z
• C)$.20 B + $.30 C = Z
• D)$.20 B + $.40 C = Z
• E)$.10 B + $.10 C = Z

---

Definitions:

Production Possibilities Line

A curve depicting all maximum output possibilities for two goods, given a set of inputs.

Trading Possibilities Line

A graphical representation showing the combinations of goods that a country can produce or trade given the resource constraints and technology.

International Trade

The exchange of goods and services between countries.

Domestic Production

It refers to the total value of all goods and services produced within a country's borders in a specific time period.