-According to the Above Table, If These Two Countries Trade

question 119

Multiple Choice

-According to the above table, if these two countries trade

• A)Mexico should import computers and the United States import bicycles.
• B)the United States should import computers and Mexico should import bicycles.
• C)the United States should export bicycles and Mexico should export computers.
• D)we cannot tell which country should export which good without knowing the amount of labor utilized in each country.

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Definitions:

Income Statement

A financial statement that shows a company's revenues, expenses, and profits or losses over a specific period of time.

Unusual In Nature

Events or transactions that are not typical of the normal activities of the entity and thus not expected to recur frequently or regularly.

Pro Forma Earnings

Financial results excluding one-time events to give investors an idea of a company's normal earnings potential.

Basic EPS

Basic Earnings Per Share, a calculation that shows how much earnings are available to common stockholders, on a per-share basis.