Mathematics, 08.10.2020 14:01 JunoJackson

Comparative advantage Darnell and Eleanor are partners at a management consulting firm. They are trying to determine which of them has a comparative advantage in creating the 50 slides required for a sales pitch to a prospective client. Darnell can create 15 slides per hour. For other activities, he can bill clients $750 per hour. Darnell's opportunity cost of creating slides is per slide. Eleanor's opportunity cost of creating slides is 30% lower than Darnell's. However, as the senior partner, her billing rate is 25% higher. Based on all of these facts, has a comparative advantage in creating slides.

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Comparative advantage Darnell and Eleanor are partners at a management consulting firm. They are try...