00:01
Here we are looking at kim and liam, who are each producing pie and cake, and these numbers in black are the numbers of pie and cake that each person can produce within one hour.
00:14
So this first part was asking us to find the opportunity cost of producing pie for each person.
00:20
So i have that in red here.
00:22
So to do opportunity costs, we simply think of this as what's the opportunity cost of producing pie.
00:28
So that's going to be in terms of cake.
00:31
How much cake do we give up in order to produce one more pie? so to do this, you simply take this 400 and divide that by 40, and that's how i got 10.
00:40
And if you wanted to do the opposite way, you could just take the reciprocal because if you were to see how much pie do you have to give up to make more cake, you would do 40 over 400.
00:50
And it's the same thing with liam.
00:52
And as you can see, this would be 2 over 1 and 1 over 5.
00:56
So these are reciprocal as well.
00:59
So this next part is asking us to look at how much can each person produce within 30 minutes.
01:05
So to do this, we can look at the problem.
01:07
It says that this is how much they can produce in one hour...