Hello. I'm having trouble getting these few questions on opportunity cost. Can anyone please help me out and explain how you arrived at your answer. Help would be much appreciated.
Here are the questions:
Here are the questions:
- Suppose Shen is currently using combination D, producing 1 boat. What is the opportunity cost of producing a second boat?
- Now, suppose Shen is currently using combination C, production 2 boats. What is the opportunity cost of producing a third boat?
- As Shen increases his production of boats, his opportunity cost of producing one more boat increases or decreases.
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