21 Jul IS IT POSSIBLE FOR BOTH METHODS TO BE ECONOMICALLY EFFICIENT?
A dressmaker can sew 400 garments with 100 bolts of fabric and 1500 hours of labor. Another dressma Show more A dressmaker can sew 400 garments with 100 bolts of fabric and 1500 hours of labor. Another dressmaker can sew 400 garments with 150 bolts of fabric and 1000 hours of identical labor. Fabric costs $110 a bolt and labor costs $20 an hour. Is it possible for both methods to be economically efficient? Why or why not? A. No because the second method has lower total costs of production. B. Yes because even though their costs differ the higher-cost dressmaker may be able to sell the garments at a higher price. C. No because the first method has lower total costs of production. D. Yes because the dressmakers will sell the garments for the same price. Show less
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