Fedoras (F) Very Very Bad-inators (B)
Perry
6/hr
4/hr
Dr. Doofenshmirtz
2/hr
10/hr

Graph the production possibilities frontier per hour for both Perry’s and Dr. Doofenshmirtz’s. (4 points)

Perry’s PPF

Dr. Doofenshmirtz’s PPF

Based on production per hour calculated in b., determine per unit opportunity costs of producing Fedoras and Bad-inators. Show your calculations for both Perry’s and Dr. Doofenshmirtz’s.

Who has comparative advantage in F? (1 point)

Determine a price range that is suitable for trade for both Fedoras and Bad-inators. (4 points)

Price range for Fedoras: 1F = ( , )

Price range for Bad-inators: 1 B = ( , )

If the trade price is 1F = 1B do both Perry and Dr. Doofenshmirtz gain from trade? Why?
(4 points)

Determine the new consumption possibilities frontier (CPF) with trade at the trade price of 1F = 1S for both Perry’s and Dr. Doofenshmirtz’s. Show the area of gains from trade in your graphs if it exists. (6 points)

(05.04 mc) a 2012 report from the u.s. surgeon general stated: "another common practice is strategically locating tobacco-related marketing materials where young children will be exposed to them. tobacco industry executives acknowledge that products and advertising should be placed at eye level (pollay 2007), but in california, 48% of stores had at least one cigarette marketing item at or below 3 feet from the floor (feighery et al. 2001)." it was also noted that 25% of cigarette displays were next to candy. in addition, a national study found that about one-third of the stores had tobacco ads at low heights. after california banned counter displays, some stores place cigarettes in transparent displays so product brands could still be seen. why did some stores use transparent units to display the cigarettes? (3 points) to comply with the new rules while still encouraging cigarette purchases via visual exposure to ensure children and minors are not exposed to cigarettes and their eye-catching packaging to minimize exposure to humidity, extending the shelf life of the cigarettes' tobacco to reduce the occurrence of shoplifting, since cigarettes are high-revenue items

Kinc. has provided the following data for the month of may: inventories: beginning ending work in process $ 17,000 $ 12,000 finished goods $ 46,000 $ 50,000 additional information: direct materials $ 57,000 direct labor cost $ 87,000 manufacturing overhead cost incurred $ 63,000 manufacturing overhead cost applied to work in process $ 61,000 any underapplied or overapplied manufacturing overhead is closed out to cost of goods sold. the adjusted cost of goods sold that appears on the income statement for may is:

Which of the following is one disadvantage of renting a place to live compared to buying a home? a. tenants have to pay for all repairs to the building. b. the landlord covers the expenses of maintaining the property. c. residents can't alter their living space without permission. d. rent is generally more than monthly mortgage payments.