Reference no: EM131915962
Problem
Your friend Sam has been asked to prepare appetizers for the university reception. She has an unlimited amount of ingredients and 6 hours in which to prepare them. Sam can make 300 mini-sandwiches or 150 servings of melon slices topped with smoked salmon and a dab of sauce per hour.
a. What is Sam's opportunity cost of making one mini-sandwich?
b. What is Sam's opportunity cost of baking one melon appetizer?
c. Suppose the reception has been postponed, and Sam has an extra 4 hours to prepare. What is the opportunity cost of making one mini-sandwich now?
d. Suppose the reception has been postponed, and Sam has an extra 4 hours to prepare. What is the opportunity cost of making one melon appetizer now?
e. Suppose Sam's friend Chris helps by preparing the melon slices, increasing Sam's productivity to 300 mini-sandwiches or 300 melon appetizers per hour. What is the opportunity cost of making one mini-sandwich now?
f. Suppose Sam's friend Chris helps by preparing the melon slices, increasing Sam's productivity to 300 mini-sandwiches or 300 melon appetizers per hour. What is the opportunity cost of making one melon appetizer now?
Does either of the given scenarios make sense to you
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