Amy and Bill are fixing up their house by painting walls and installing electrical outlets. In one hour, Amy can paint 8 walls, or install 6 outlets.
In one hour, Bill can paint 5 walls, or install 5 outlets
a. If Amy painted 8 walls in the first hour of work, and then switched to doing 6 outlets in the second hour of work, what was the opportunity cost of each of those outlets?
Instructions: Round your answers to two decimal places.
For the third hour, if she switches back to painting 8 walls, what was the opportunity cost of each of those walls?
b. If Bill painted 5 walls in the first hour of work, and then switched to doing 5 outlets in the second hour of work, what was the opportunity cost of each of those outlets?
Instructions: Answer in whole numbers.
For the third hour, if he switches back to painting 5 walls, what was the opportunity cost of each of those walls?

See Explanation

Explanation:

Given

In 1 hour:

Amy: 8 walls or 6 outlets

Bill: 5 walls or 5 outlets

Solving (a): Amy

(i) Opportunity cost of the outlets

This can be represented as:

Divide both sides by 2

This means that: for 3 outlets done, 4 walls are not done.

(i) Opportunity cost of the walls

This can be represented as:

Divide both sides by 2

This means that: for 4 walls done, 3 outlets are not done.

Solving (b): Bills

(i) Opportunity cost of the outlets

This can be represented as:

Divide both sides by 5

This means that: for 1 outlet done, 1 wall is not done.

(i) Opportunity cost of the walls

This can be represented as:

Divide both sides by 5

This means that: for 1 wall done, 1 outlet is not done.

looks

you will have $2593.74 in 10 years if you set aside $1,000 at 10%

you will have $9321.91 in 20 years if you set aside $2000 at 8%

you will have $1469.32 in 5 years if you set aside $1000 at 8%

you will have $1296.87 in 10 years if you set aside $500 at 10%

you will have $239.66 in 15 years if you set aside $100 at 6%

you will have $4660.96 in 20 years if you set aside $1000 at 8%