I would appreciate an answer to these two provided questions.

1 . Problems 1-5 The company that you manage has invested $5 million in developing a new product, but the development is not quite nished. At a recent meeting, your salespeople report that the introduction of competing products has reduced the expected sales of your new product to $1.5 million. If it would cost $2 million to nish development and make the product, you should not 7 go ahead and do so. The most you should pay to complete development is $1.5 million. 4 . Problems 3-5 England and Scotland both produce scones and sweaters. Suppose that an English worker can produce 40 scones per hour or 1 sweater per hour. Suppose that a Scottish worker can produce 20 scones per hour or 2 sweaters per hour. English workers have an absolute advantage in producing scones, and Scottish _ workers have an absolute advantage in producing sweaters. English V workers have a comparative advantage in producing scones, and Scottish workers have a comparative advantage in producing sweaters. If England and Scotland decide to trade, Scotland will trade sweaters to England. If an English worker could produce only 20 scones per hour, England would still gain from trade, and Scotland would still gain from trade