Question

This table shows the number of cookies several bakeries sell each day.

All else being equal, which bakery has the absolute advantage?

Mr. Track’s
Chips
The Bakeshop
Uncle John’s

Answer 1

Uncle johns for all the edegenutity

Answer 2

Answer: Uncle John's

Absolute advantage refers to the ability of a firm, business or a country to produce a greater quantity of a product or service using the same quantum of resources relative to others. When a firm is able of produce a greater quantity of a product or service, it can sell goods a price that is lower than its competitors and hence can sell more units of the product.

In this case, Uncle John’s sold the maximum number of cookies (125), hence it has an absolute advantage.