Scenario: Mark Can Make Three Tables and One Chair in a Day

question 154

Multiple Choice

Scenario: Mark can make three tables and one chair in a day, while John can make four tables and one chair in a day.
-Refer to the scenario above.Which of the following is true in this case?

• A) Mark has both comparative and absolute advantage in making tables.
• B) John has both comparative and absolute advantage in making tables.
• C) Mark has both comparative and absolute advantage in making chairs
• D) John has both comparative and absolute advantage in making chairs.

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Definitions:

Sales Taxes

Taxes imposed by the government on sales of goods and services, which are typically paid by the consumer at the point of sale.

Payroll Liabilities

Obligations arising from salaries, wages, taxes, and other amounts due to employees.

Federal Income Taxes

Taxes levied by the Internal Revenue Service (IRS) on the annual earnings of individuals, corporations, trusts, and other legal entities.

Time Clock

A device used to track the hours worked by employees, often used to calculate payroll.