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In an Eight-Hour Day, Andy Can Produce Either 24 Loaves

Question 65

Multiple Choice

In an eight-hour day, Andy can produce either 24 loaves of bread or 8 kilograms of butter. In an eight-hour day, Rolfe can produce either 24 loaves of bread or 24 kilograms of butter.
Based on the information above, which statement is true?


A) Andy has an absolute advantage in producing butter.
B) Rolfe has an absolute advantage in producing bread.
C) Andy has an absolute advantage is producing bread.
D) Andy has a comparative advantage in producing bread.
E) Rolfe has a comparative advantage in producing bread.

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