Figure 22-5 -From the Graph in Figure 22-5 (Curves Show Output Per

question 185

Multiple Choice

Figure 22-5

-From the graph in Figure 22-5 (curves show output per unit of labor input) , one can infer that

• A)Japan has an absolute advantage in TVs and computers, but a comparative advantage only in TVs.
• B)Japan has only a comparative advantage in TVs.
• C)Japan has an absolute advantage in both TVs and computers, but a comparative advantage only in computers.
• D)China has a comparative advantage in computers.

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Definitions:

Income Statement

A financial statement that shows a company's revenues and expenses over a specific period, resulting in a net profit or loss.

Selling Expenses

Selling expenses are costs associated with the marketing and sale of products or services, including advertising, sales commissions, and retail space rental.

General And Administrative Expenses

Operating expenses not directly tied to production, including salaries of executives, office supplies, and utilities.

Misuse

Misuse means using something in an incorrect, inappropriate or unintended manner, especially in a way that can cause harm or waste.