Answer the Question on the Basis of the Following Production

question 62

Multiple Choice

Answer the question on the basis of the following production possibilities tables for two countries,North Cantina and South Cantina: Refer to the tables.Suppose that North Cantina is producing 2 units of capital goods and 17 units of consumer goods while South Cantina is producing 2 units of capital goods and 21 units of consumer goods.We can conclude that:

• A) North Cantina is fully and efficiently using its resources,but South Cantina is not.
• B) South Cantina is fully and efficiently using its resources,but North Cantina is not.
• C) neither South Cantina nor North Cantina is fully and efficiently using its resources.
• D) both South Cantina and North Cantina are fully and efficiently using their resources.

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Definitions:

Investment Opportunity

A financial investment or venture that has the potential to yield returns or profits to the investor.

Company

A business or association of persons engaged in commercial, industrial, or professional activities, either incorporated or unincorporated.

Return on Investment (ROI)

A measure of the profitability of an investment, expressed as a percentage of the initial amount invested.

Division's

Relates to a separate part of a larger organization, typically responsible for a specific operation or function.