Asked by
McKenna Kelley
on Oct 27, 2024
Verified
The BEST measure of the opportunity cost of any choice is:
A) the monetary cost of that choice.
B) whatever you have given up to make that choice,even if no monetary costs are involved.
C) the cost associated with not taking full advantage of the opportunity offered by that choice.
D) your hourly wage.
Opportunity Cost
The cost of forgoing the next best alternative when making a decision, representing the benefits you could have received by taking an alternative action.
Monetary Cost
The amount of money expended to produce or acquire goods or services.
- Familiarize yourself with the theory of opportunity cost and how it pertains to numerous decision-making cases.
- Acquire understanding of how opportunity cost plays a part in the valuation of distinct alternatives.
Verified Answer
BN
Learning Objectives
- Familiarize yourself with the theory of opportunity cost and how it pertains to numerous decision-making cases.
- Acquire understanding of how opportunity cost plays a part in the valuation of distinct alternatives.