(Solved): The graph above shows the PPC for a country that can produce butter or coffee. The straight line is ...

The graph above shows the PPC for a country that can produce butter or coffee. The straight line is the trade line and CPC if production is at Point $$A$$. Which of the following is a true statement? Select one: A. This country should produce relatively more butter and relatively less coffee. B. This country is producing the optimal mix of butter and coffee to maximize its income. C. This country should produce relatively less butter and relatively more coffee. D. This country should produce more of both goods.