A Person Has a Comparative Advantage in an Activity If

question 11

Multiple Choice

A person has a comparative advantage in an activity if that person can

• A) produce more goods in a given amount of time than another person.
• B) produce fewer goods in a given amount of time than another person.
• C) perform the activity at a lower opportunity cost than anyone else.
• D) perform that activity at a higher opportunity cost than anyone else.

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Definitions:

Bank Statement

A monthly or quarterly document provided by a bank detailing the account holder's transactions, balances, and fees.

Cash Account

An account that records all transactions involving cash inflows and outflows.

Asset Account

An account on a company’s balance sheet that represents a resource controlled by the company as a result of past events and from which future economic benefits are expected.

Liability Account

An accounting record of amounts owed by a business to creditors, typically categorized as current or long-term liabilities.