Table 25 Table 2

question 93

Multiple Choice

Table 2.5 Table 2.5 shows the output per month of two people, Fred and Barney.They can either devote their time to making pogo sticks or making unicycles.
-Refer to Table 2.6.What is Barney's opportunity cost of making a unicycle?

• A)1/2 pogo stick
• B)2 pogo sticks
• C)1)75 unicycles
• D)2)8 pogo sticks

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Definitions:

Financial Statement

A formal record of the financial activities and position of a business, individual, or other entity, typically including balance sheet, income statement, and cash flow statement.

Days' Sales Uncollected

A financial ratio that indicates the average number of days it takes a company to collect payment after a sale has been made.

Inventory Turnover

A ratio showing how often a company's inventory is sold and replaced over a certain period.

Accounts Receivable Turnover

A financial ratio that measures a company's effectiveness in collecting its receivables or the money owed by clients.