Business, 05.08.2021 15:00 emmamood

Sports Co. is considering producing two goods, cricket wickets and cricket gloves. Following table provides information on all combinations of the wickets and gloves the company can produce : Combinations A B C D E F
Wickets 0 100 200 300 400 500
Gloves 420 400 360 300 200 0

a. Plot and connect the given combinations, in a clearly labelled graph, to create an economic model of Sports Co. ( 1 Mark )
b. What does the model represent in economic terminology? Define the concept and explain the assumptions behind this model. ( 1 Mark )
c. If Sports Co. currently produces 100 wickets and 400 gloves, what is the opportunity cost of an additional 100 wickets? ( 1 Mark )
d. Is the production of 200 wickets and 200 gloves efficient? Explain. ( 1 Mark )
e. What will be the impact on the graph if Sports Co. can acquire a new machine that will increase production of gloves? Support your answer with illustration on the graph in (a) above. ( 1 Mark )

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Sports Co. is considering producing two goods, cricket wickets and cricket gloves. Following table p...

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