Shifting from producing 500 scarves and 225 sweaters, to producing 100 scarves and 350 sweaters would

A) result in an inefficient use of resources.

B) result in an opportunity cost of 200 scarves.

C) result in an opportunity cost of 125 sweaters.

D) result in an overutilization of available resources.

Question

Alice Webster

Business

24 May, 06:21

Shifting from producing 500 scarves and 225 sweaters, to producing 100 scarves and 350 sweaters would

A) result in an inefficient use of resources.

B) result in an opportunity cost of 200 scarves.

C) result in an opportunity cost of 125 sweaters.

D) result in an overutilization of available resources.

+4

Answers (2)

Know the Answer?

Keshawn Horton · Answer 1

Answer:A) result in an inefficient use of resources

Jason · Answer 2

A) result in an inefficient use of resources

Explanation:

Formerly, the company was producing 500 scarves and 225 sweaters with the available resources. However, they shifted to producing 100 scarves and 350 sweaters with no mention of change in raw materials. This means that the production capacity when down even with the availability of initial raw material.

Shifting from producing 500 scarves and 225 sweaters, to producing 100 scarves and 350 sweaters wouldA) result in an inefficient use of resources.B) result in an opportunity cost of 200 scarves.C) result in an opportunity cost of 125 sweaters.D) result in an overutilization of available resources.