In Which Product Does Northern Ireland Have a Comparative Advantage

question 7

Multiple Choice

In which product does Northern Ireland have a comparative advantage?

• A)Beer
• B)Whiskey
• C)Neither

---

Definitions:

Materials

The raw inputs used in the manufacturing process to create a finished product.

Weighted-Average Method

A cost accounting method that calculates the cost of equivalent units of production by considering the weight of the cost of current and prior periods' goods.

Equivalent Units

A concept used in cost accounting to express the amount of work done by manufacturers in terms of fully completed units.

Materials

Items or supplies used in the production of goods, considered part of the direct costs in manufacturing.