Question: The following table shows efficient combination of two goods, computer and radios that an economy can produce Combination Computer (units) Radio (units) A 200 0


The following table shows efficient combination of two goods, computer and radios that an economy can produce Combination Computer (units) Radio (units) A 200 0 B 150 10 C 100 20 D 50 30 E 0 40 a) Define production possibilities curve (PPC) b) Draw the production possibilities curve (PPC) on graph paper c) Analyze what happen to firm if they want to produce 100 units computer and 10 units of radio. Label as combination F in graph (b) d) Analyze what happen to firm if they want to produce 150 units computer and 20 units of radio. Label as combination G in graph (b) e) Calculate opportunity cost if firm want to produce 20 unit of radio. f) Calculate opportunity cost if firm want to produce 50 unit of computer. g) Explain two assumption of the production possibilities curveCapital Labor (variable input) Total Product Average Marginal Product Product 10 0 10 8 10 20 10 3 33 10 44 10 50 10 6 54 10 56 10 56 10 9 54 10 10 50 a) Complete the table above b) Sketch the total product, average product and marginal product in the same diagram on graph paper c) Based on graph (b) analyze the relationship between Total Product (TP) Average Product (AP), Marginal Product (MP) at each stage of production d) Identify the different between FIXED input and VARIABLE input. Support your explanation with one example for each input
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