Use the Following to Answer Question(s): Production Possibilities for Machinery

question 180

Multiple Choice

Use the following to answer question(s) : Production Possibilities for Machinery and Petroleum

-(Exhibit: Production Possibilities for Machinery and Petroleum) Assuming constant costs in the neighborhood of their current levels of production, the exhibit shows the number of units of machinery each country would have to forgo in order to produce the additional petroleum indicated.The opportunity cost in the United States of producing 120 units of machinery is _______ units of petroleum.

• A) 80
• B) 60
• C) 40
• D) 20

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Definitions:

Liability

Refers to the state of being legally responsible for something, particularly in reference to debts or legal obligations.

ULPA

A high-efficiency air filter standard known as Ultra Low Particulate Air, capable of removing at least 99.99% of dust, pollen, mold, bacteria, and other airborne particles.

Limited Partner

An investor in a partnership who is not involved in daily business operations and whose liability is limited to the amount of their investment.

Withdraw

To remove oneself or something from consideration, participation, or engagement in a particular activity, agreement, or situation.