Two Friends,Monica and Chandler,enjoy Baking Bread and Making Apple Pies

question 63

Multiple Choice

Two friends,Monica and Chandler,enjoy baking bread and making apple pies.Monica takes two hours to bake 1 loaf of bread and one hour to make 1 pie.Chandler takes four hours to bake 1 loaf of bread and four hours to make 1 pie.
-What is Monica's opportunity cost of baking 1 pie?

• A) 2 pies
• B) 1 pie
• C) 1 loaf of bread
• D) 1/2 loaf of bread
• E) 2 loaves of bread

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Definitions:

Markup

The gap between the purchase expense of a good or service and the price at which it's sold, represented as a percentage of the buying price.

Concentration Ratios

Measures that indicate the degree of concentration in an industry, often used to assess competition levels.

Market Shares

The portion of a market controlled by a particular company or product, often expressed as a percentage of total sales in the industry.

Competitive

Relating to or characterized by competition; having the ability or resources to compete successfully with others.