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Marc and Josh have a project that must be completed for a business class. The project involves doing a series of calculations and writing a report. It would take Marc 8 hours to do the required calculations and 8 hours to write the report. It would take Josh 15 hours to do the calculations and 30 hours to write the report. For each option below, show how much time is spent on each task and the total time on the project.
(a) How much time would it take the two to complete the project if they divide the calculations equally and the writing equally? Briefly explain your answer.
(b) How much time would it take the two to complete the project if they use comparative advantage and specialization in calculating or writing? Briefly explain your answer.
(c) If Josh and Marc have the same opportunity cost of $10 per hour, is there a better solution than for each to specialize in calculating or writing? Briefly explain your answer.
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