Question

This table shows the number of cookies several bakeries sell each day. Bakery Number of Cookies Sold Mrs. Track’s 90 Chips 100 The Bakeshop 75 Uncle John’s 125 All else being equal, which bakery has the absolute advantage? Mrs. Track’s Chips The Bakeshop Uncle John’s

Answer 1

Answer: d. Uncle John's

Absolute Advantage refers to the ability of an individual, company, region or country to produce a particular product or service at a price lower than that of his or her or its competitors.

When the price for the company's products are lower in comparison to other similar products, the demand for its products are more and it's able to sell more number of units than its competitors.

In this case, Uncle John's has the absolute advantage since it sold the most number of cookies (125)

Answer 2

Answer:

the answer is d I took the test