Bake Sale On a normal day, David can make 12 cakes or 6 pies. Loren can make 8 cakes or 6 pies. Question 1: David’s opportunity cost of producing 1 cake is ___ pies. Answer: give up / gain = Question 2: David’s opportunity cost of producing 1 pie is ____ cakes. Answer: Give up / gain = Question 3: Loren’s opportunity cost of producing 1 cake is ___ pies. Answer: give up / gain = Question 4: Loren’s opportunity cost of producing 1 pie is ____ cakes. Answer: Give up / gain =

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To calculate opportunity costswe need to understand what each person could have produced inst... View the full answer