Use the Following Scenario to Answer the Questions That Follow

question 36

Multiple Choice

Use the following scenario to answer the questions that follow.
An economy has two workers, Smith and Ricardo. Every day they work, Smith can produce 4 computers or 16 smartphones, and Ricardo can produce 6 computers or 12 smartphones.
-What is the opportunity cost for Smith to produce one smartphone?

• A) 1/4 computer
• B) 1/2 computer
• C) 1 computer
• D) 2 computers
• E) 4 computers

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Definitions:

Chi-Squared Test

A statistical test used to determine the significance of the observed differences between categorical datasets and expected outcomes.

Nominal Data

Data that is categorized without a natural order or ranking, used for labeling variables without a quantitative value.

Population

The complete collection of objects or people that can be used to draw samples for statistical study.

Multinomial Experiment

A statistical experiment that can result in multiple outcomes, where each outcome has a fixed probability of occurring.