If the tiny nation of lorland devotes all its resources to strawberries, it can produce 16 strawberries per day. if it devotes all its resources to balloons, it can produce 80 balloons per day. these are the only goods that lorland can produce. what is the opportunity cost of 1 balloon in lorland?

So, the opportunity cost of 1 balloon in Lorland is = 0.20 strawberries.

Explanation

The opportunity cost of 1 balloon refers to the number of strawberries Lorland needs to sacrifice in order to produce 1 balloon. From the given information, we know that Lorland needs to sacrifice 16 strawberries for 80 ballons.

So, for 1 balloon, it needs to sacrifice 16/80 = 1/5 = 0.20 strawberries.

in 2001, dell computer became the world’s largest personal computer vendor, continuing to

gain market share and post profits in an industry struggling with slumping sales and billions of

dollars in losses. dell sells 90% of its pcs directly to the final customer, largely bypassing the

reseller channel that accounts for most of the world’s pc sales. this direct customer relationship

is the key to dell’s business model, and provides distinct advantages over the indirect sales

model. dell’s direct relationship with the customer allows it to tailor its offerings to customer

needs, offer add-on products and services, and use the internet to offer a variety of customer

services. in addition, dell’s pcs are built to customers’ specifications upon receipt of an order,

giving dell additional advantages over indirect pc vendors who must try to forecast demand and

ship products based on those forecasts. dell’s direct sales and build-to-order model has achieved

superior performance in the pc industry in terms of inventory turnover, reduced overhead, cash

conversion, and return on investment (kraemer, et al., 2000).

explanation: