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Smith and Jones Comprise a Two-Person Economy If Smith and Jones Are Dividing Their Time Efficiently and of Production

Question 157

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Smith and Jones comprise a two-person economy. Their hourly rates of production are shown below.  Calculators  Per Hour  Computers  Per Hour  Smith 10010 Jones 1206\begin{array} { | l | c | c | } \hline & \begin{array} { c } \text { Calculators } \\\text { Per Hour }\end{array} & \begin{array} { c } \text { Computers } \\\text { Per Hour }\end{array} \\\hline \text { Smith } & 100 & 10 \\\hline \text { Jones } & 120 & 6 \\\hline\end{array} If Smith and Jones are dividing their time efficiently and producing fewer than 10 computers and more than 120 calculators per hour, then Smith will ______ and Jones will ______.


A) split his time between computers and calculators; produce only calculators
B) produce only calculators; split his time between computers and calculators
C) produce only calculators; produce only computers
D) produce only computers; produce only calculators

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