In: Economics

Dude Solutions employs four workers. Judy is capable of knitting 20 scarfs or 5 sweaters. Carlos can knit 8 scarfs or 8 sweaters. Mary can knit 4 scarfs or 16 sweaters. Bob can knit 40 scarfs or 20 sweaters.

- Graph the production possibilities frontier for Dude Solutions. Place scarfs (R) on the vertical axis and sweaters (T) on the horizontal axis.
- What is the opportunity cost of producing the first 20 sweaters? Show calculations.
- What is the opportunity cost of producing the 37th scarf? Show calculations.
- Suppose that Dude Solutions is currently producing 60 scarfs and 16 sweaters. What is the opportunity cost of expanding scarf production by 8 units? Explain.

A

B)judy OP of producing one sweater=20/5=4

Carlos OP of producing one sweater =8/8=1

Mary OP of producing one sweater=4/16=1/4=0.25

Boby OP of producing one sweater=40/20=2

The lower OP person will produce sweater first than the high OP person .

So mary has lowest OP ,so he will produce 16 sweater. So OP of 16 sweater =16*0.5=8

Carlos have next lowest OP ,so he will produce 4 sweater and OP =4*1=4

Producing first year 20 sweater =8+4=12

C)judy OP of producing one scarf=5/20=0.25

Carlos OP of producing one scarf=8/8=1

Mary OP of producing one scarf=16/4=4

Bob OP of producing one scarf=20/40=0.5

First 20 scarf produced by judy at OP =0.25*20=5

Next 17 scarf produced by bob bob at OP=17*0.5=8.5

OP of 37 producing 37 scarf=5+8.5=13.5

D)60 scarf means 20 of judy + 40 of bob. But dude solution can produce at same time 24 sweater (16 of mary and 8 of carlos). It means carlos is currently doing nothing.

So expanding scarf production by 8 units have zero opportunity cost as carlos will produce next 8 units of scarfs .it dude solution is currently under ppf curve.

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Wednesday, 14; Thursday, 15; Friday, 14; Saturday, 18; Sunday;8.
The Police Station wants to schedule police officers to maximize
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Formulate LP and solve the...

The NYPD employs 20 police officers. Each officer works for 5
days per week. The crime rate fluctuates with the day of week, so
the number of the police officers required each day depends on
which day of the week it is: Monday, 11; Tuesday, 12; Wednesday,
14; Thursday, 15; Friday, 14; Saturday, 18; Sunday;8. The Police
Station wants to schedule police officers to maximize the number of
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For this grouped data;
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5 - 19 6
20 - 34 17
35 - 49 21
50 - 64 29
65 - 79 23
80 - 94 15
95 - 109 10
a) Find the class boundaries (5p)
b) Find the class marks (5p)
c) Find the class interval (5p)
d) Draw a histogram of the distribution (10p)
e) Estimate and draw to a cumulative "less than" distribution
(10p)
f) Calculate the mean, the...

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I perform...

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Table 3-PEX2: A Production Function with Capital and LaborCapital 6 346 490 600 692 775 846(trucks) 5 316 448 548 632 705 7754 282 400 490 564 632 6923 245 346 423 490 548 6002 200 282 346 400 448 4901 141 200 245 282 316 34615 16 17 18 19 20Labor (workers)4. If the output price is $5 per package, the rent for the
capital is $50 per truck, and the wage of labor is $100 per worker,
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