A bicycle repair shop has 48 mechanic-hours available next week. Its existing bookings and a proposed order are shown below.
| Work | Number of jobs | Mechanic-hours per job |
|---|---|---|
| Existing standard services | 24 | 2 |
| Proposed cargo-bike repairs | 6 | 4 |
The shop cannot employ additional mechanics or extend its opening hours next week.
Calculate how many existing standard services the shop would have to cancel if it accepts the proposed order.
Explain the opportunity cost to the bicycle repair shop of accepting the proposed order.
77 exam-style questions on OCR GCSE Economics 1.2 The basic economic problem, covering 1.2.1 Scarce resources and unlimited wants, 1.2.2 The economic problem, 1.2.3 Opportunity cost, and 1.2.4 Costs and benefits of economic choices. Each one has a worked solution and a mark scheme showing where the marks go.