Suppose that spain and sweden both produce jeans and cheese. spain's opportunity cost of producing a pound of cheese is 5 pairs of jeans while sweden's opportunity cost of producing a pound of cheese is 10 pairs of jeans.
by comparing the opportunity cost of producing cheese in the two countries, you can tell that selector 1
sweden
spain
has a comparative advantage in the production of cheese and selector 2
sweden
spain
has a comparative advantage in the production of jeans.
points:
close explanation
explanation:
suppose that spain and sweden consider trading cheese and jeans with each other. spain can gain from specialization and trade as long as it receives more than selector 1
1 pair
1/10 pair
1/5 pair
5 pairs
10 pairs
of jeans for each pound of cheese it exports to sweden. similarly, sweden can gain from trade as long as it receives more than selector 2
1 pound
1/10 pound
1/5 pound
5 pounds
10 pounds
of cheese for each pair of jeans it exports to spain.
points:
close explanation
explanation:
based on your answer to the last question, which of the following terms of trade (that is, price of cheese in terms of jeans) would allow both sweden and spain to gain from trade? check all that apply.
9 pairs of jeans per pound of cheese
1 pair of jeans per pound of cheese
6 pairs of jeans per pound of cheese
2 pairs of jeans per pound of cheese

There are three factors that can affect the shape of the treasury yield curve (r* t , ip t , and mrp t ) and five factors that can affect the shape of the corporate yield curve (r* t , ip t , mrp t , drp t , and lp t ). the yield curve reflects the aggregation of the impacts from these factors. suppose the real risk-free rate and inflation rate are expected to remain at their current levels throughout the foreseeable future. consider all factors that affect the yield curve. then identify which of the following shapes that the us treasury yield curve can take. check all that apply. a. downward-sloping yield curveb. upward-sloping yield curvec. inverted yield curve

Alpha company uses the periodic inventory system for purchase & sales of merchandise. discount terms for both purchases & sales are, 2/10, n30 and the gross method is used. unless otherwise noted, fob destination will apply to all purchases & sales. the value of inventory is based on periodic system. on january 1, 2016, beginning inventory consisted of 350 units of widgets costing $10 each. alpha prepares monthly income statements. the following events occurred during the month of jan.: dateactivitya. jan. 3purchased on account 350 widgets for $11 each. b.jan. 5sold on account 400 widgets for $30 each. paid freight out with petty cash of $150.c. jan. 10purchased on account 625 widgets for $12 each. d.jan. 11shipping cost for the january 10 purchased merchandise was $400 was paid with a cheque by alpha directly to the freight company. e.jan. 12returned 50 widgets received from jan. 10 purchase as they were not the correct item ordered. f.jan. 13paid for the purchases made on jan. 3.g. jan. 21sold on account 550 widgets for $30 each. paid freight out with petty cash of $250.h. jan. 22authorize credit without return of goods for 50 widgets sold on jan. 21 when customer advised that they were received in defective condition. i.jan. 25received payment for the sale made on jan. 5.j. jan. 26paid for the purchases made on jan. 10.k. jan. 31received payment for the sale made on jan. 21.use this information to prepare the general journal entries (without explanation) for the january events. if no entry is required then enter the date and write "no entry required."

Large public water and sewer companies often become monopolies because they benefit from although the company faces high start-up costs, the firm experiences average production costs as it expands and adds more customers. smaller competitors would experience average costs and would be less