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The Graph Below Shows the Production Possibility Curves for Two

question 12

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The graph below shows the production possibility curves for two hypothetical nations,Orin and Pohl,which each make two hypothetical products,jaxs and keps.Which of the following statements is correct? The graph below shows the production possibility curves for two hypothetical nations,Orin and Pohl,which each make two hypothetical products,jaxs and keps.Which of the following statements is correct?   A)  Orin has a comparative advantage in both jaxs and keps. B)  Pohl has a comparative advantage in jaxs. C)  The opportunity cost of making jaxs is lower in Orin than in Pohl. D)  Orin is more efficient than Pohl.


Definitions:

Discounted

The process of determining the present value of a future amount, or stream of payments, by applying a discount rate.

Maturity Value

The total amount payable to an investor at the end of a fixed-term investment, including principal and interest.

360-Day Year

A conventional method in finance for simplifying interest calculations, assuming a year has 360 days.

Finance Company

A business that provides loans to individuals and companies, aside from traditional banking institutions, often specializing in certain types of loans.

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