Illustrate what is the prospect cost of cheese

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Q. A dairy farmer has a production possibilities frontier demonstrating the combinations of milk also a rare also costly cheese which she can produce. At her present production level, she can increase her production of cheese by 5 grams, if she reduces her production of milk by one liter. Alternatively, she can increase her production of milk by one liter if she decreases her production of cheese by 5 grams. This means which the prospect cost of milk is 5 grams of cheese per liter of milk.

If you turn this measure of cost around, illustrate what is the prospect cost of cheese in liters of milk per gram of cheese?

Reference no: EM1343737

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