Scenario: Consider Two Economies, Beta and Zeta

question 123

Multiple Choice

Scenario: Consider two economies, Beta and Zeta. Each farmer in Beta can grow 1,000 pounds of apples or 500 pounds of oranges in a year. Each farmer in Zeta can grow 400 pounds of apples or 1,200 pounds of oranges in a year.
-Refer to the scenario above.The opportunity cost of producing 1 pound of apples in Zeta is ________.

• A) 0.67 pounds of oranges
• B) 1.5 pounds of oranges
• C) 2 pounds of oranges
• D) 3 pounds of oranges

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Definitions:

Incentive Systems

Programs designed to motivate and reward employees for reaching or exceeding performance targets.

Employee Performance

The measurement of an employee's work effectiveness and efficiency according to predefined criteria set by the employer.

Profit Sharing

A corporate program in which employees receive a share of the company's profits, usually distributed through bonuses or as part of a deferred compensation plan.

Adverse Effect

A negative outcome or harm that results from an action, intervention, or event.