.0/msohtmlclip1/01/clip_image002.jpg” alt=”Description: kulogo”>Unit 3 Assignment Template:

Name: –

Course Number: –

Section Number: –

Unit Number: –
3

Date: –

———————————- General Instructions for all Assignments———————————–

1.
Unless specified differently by your course instructor, save this assignment
template to your computer with the following file naming format:

Course
number_section number_LAST_FIRST_ unit number

2. At the top of the template, insert the
appropriate information: Your Name, Course Number, Section Number and Date

3.
Insert your answers below, or in the appropriate space provided for in the
question. Your answers should follow the
APA format with citations to your sources and, at the bottom of your last page,
a list of references. Your answers should also be in Standard English with
correct spelling, punctuation, grammar, and style (double spaced, in Times New
Roman, 12-point, black font). Respond to
questions in a thorough manner, providing specific examples of concepts,
topics, definitions, and other elements asked for in the questions.

4. Provide a list of references at the end of
the last page of your assignment.

5.
Upload the completed assignment to the appropriate dropbox.

6.
Any questions about the assignment, or format questions, should be directed to your
course instructor.

——————————————- Career
Competencies —————————————–

In
this assignment, you will engage in developing the following career
competencies:

Analyzing
Quantitative Data

Analyzing
Qualitative Data

Improving
Global Awareness

——————————————- Assignment ——————————————-

1. St Atanagio is a remote island in the Atlantic. The
inhabitants grow corn and breed poultry. The accompanying table shows the
maximum annual output combinations of corn and poultry that can be produced.
Obviously, given their limited resources and available technology, as they use
more of their resources for corn production, there are fewer resources
available for breeding poultry.

Maximum annual output options	Quantity of Corn (pounds)	Quantity of Poultry(pounds)
1	1200	0
2	1000	300
3	800	500
4	600	600
5	400	700
6	200	775
7	0	850

Examine the
following production possibility frontier graph with corn on the horizontal
axis and poultry on the vertical axis illustrating these options and showing
points 1–7.

.0/msohtmlclip1/01/clip_image004.png”>

a. Can St. Atanagio produce 650 pounds
of poultry and 650 pounds of corn? Explain. Where would this point lie relative
to the production possibility frontier?

b. What is the opportunity cost of
increasing the annual output of corn from 800 to 1000 pounds?

c. What is the opportunity cost of
increasing the annual output of corn from 200 to 400 pounds?

d. Can you explain why the answers to
parts b. and c. above are not the same? What does this imply about the slope of
the production possibility frontier?

2.Suppose that the supply schedule of
Belgium Cocoa beans is as follows:

Price of cocoa beans(per pound)	Quantity of cocoa beans supplied(pounds)
$40	900
$35	700
$30	500
$25	400
$20	200

Suppose that Belgium cocoa beans can be
sold only in Europe. The European demand schedule for Belgium cocoa beans is as
follows:

Price of Belgium cocoa beans(per pound)	European Quantity of Belgium cocoa beans demanded(pounds)
$40	100
$35	300
$30	500
$25	700
$20	900

a. Below is the graph of
the demand curve and the supply curve for Belgium cocoa beans. From the supply
and demand schedules above, what are the equilibrium price and quantity of
cocoa beans from Belgium?

.0/msohtmlclip1/01/clip_image006.jpg” alt=”Description: slide1″>

Now suppose that Belgium cocoa beans can be sold in
the U.S. The U.S. demand schedule for Belgium cocoa beans is as follows:

Price of Belgium cocoa beans(per pound)	U.S. Quantity of Belgium cocoa beans demanded(pounds)
$40	200
$35	400
$30	600
$25	800
$20	1000

b.
What is the combined (total) demand schedule for Belgian cocoa beans
that European and USA consumers buy?

Price of Belgium cocoa beans	U.S. Quantity of Belgium cocoa beans demanded	European Quantity of Belgium cocoa beans demanded	Total Demanded
(per pound)	(pounds)	(pounds)	(pounds)
$40	200	100
$35	400	300
$30	600	500
$25	800	700
$20	1000	900

Below is the
supply and demand graph that illustrates the new equilibrium price and quantity
of cocoa beans from Belgium.

.0/msohtmlclip1/01/clip_image008.jpg” alt=”Description: slide2″>

c.
From the supply schedule and the combined U.S. and European demand
schedule, what will be the new price at which Belgium plantation owners can
sell cocoa beans?

d.
What price will be paid by European consumers?

e.
What will be the quantity consumed by European consumers?

——————————————–

References:

Unit _3_ PERFORM Assignment Grading Rubric/ Instructor Worksheet
Content	Percent Possible	Points Possible
Full assignment	100%	80
Overall Writing:	20%	16
correct coversheet information at the top of 1st page	5%	4.00
APA format for answers	3%	2.40
correct citations	3%	2.40
standard English no errors	4%	3.20
At least ONE, or more, references	5%	4.00
Answers: provides complete information demonstrating analysis and critical thinking:	80%	64
Individual Questions:
1. a. – Can this quantity be produced, where does point lie?	10%	8.00
1. b. – What is Opportunity cost from 800 to 1,000?	10%	8.00
1. c. – What is opportunity cost from 200 to 400?	10%	8.00
1. d. – Why are c & d not the same, what shape of curve?	5%	4.00
2. a. – What is equilibrium quantity and price?	5%	4.00
2. b. – What is new demand schedule?	10%	8.00
2. c. – What is new price?	10%	8.00
2. d. – What price will Europeans pay?	10%	8.00
2. e. – What quantity will Europeans buy?	10%	8.00
Sub-total for Individual Questions:	80%	64.00