Question

Susan can brew 5 gallons of root beer in an hour or she can make 4 pizzas in an hour. Becky can brew 7 gallons of root beer in an hour or she can make 5 pizzas in an hour. Susan's opportunity cost of making a pizza is 4 gallons of root beer. Becky's opportunity cost of making a pizza is 7 gallons of root beer.

Requried:
Who has an absolute advantage in making pizza?

Answer 1

Becky

Step-by-step explanation:

A person has absolute advantage in the production of a good if she produces more quantities of the good compared to the other person.

Susan produces 4 pizzas in an hour while Becky produces 5 pizzas in an hour. So, Becky has an absolute advantage in the production of pizzas.

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