Seabrook Kayaks Ltd makes two kayak models on the same machines. It has confirmed orders for 180 touring kayaks and 90 fishing kayaks, and each order is for one kayak. The machine time available before the orders are due is limited and cannot be increased. Table 1 shows two production plans the firm is considering. Each plan uses all of the available machine time.
Table 1
| Production plan | Touring kayaks produced | Fishing kayaks produced |
|---|---|---|
| Plan A | 180 | 30 |
| Plan B | 120 | 60 |
Using Table 1, analyse the trade-offs Seabrook Kayaks Ltd faces in choosing between Plan A and Plan B, in terms of the kayaks it makes and the customers it supplies.
81 exam-style questions on AQA GCSE Economics 1.1 Economic foundations, covering 1.1.1a Needs and wants, 1.1.1b The central purpose of economic activity, 1.1.1c Key economic decisions, 1.1.1d The main economic groups, 1.1.2a The nature of an economic resource, 1.1.2b The four factors of production, 1.1.3a The basic economic problem and making choices, and 1.1.3b Opportunity cost. Each one has a worked solution and a mark scheme showing where the marks go.