If a family spends its entire budget in a given time frame, the family can afford either 10 restaurant meals or 30 home meals. A

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2 years ago

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If a family spends its entire budget in a given time frame, the family can afford either 10 restaurant meals or 30 home meals. A

ssuming the family spends its entire budget on just these two goods, what is the opportunity cost of one extra restaurant meal in the time frame? (Round your answer to two decimal places.)

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1 answer:

Andrej [43] · Answer 1 · 2023-04-15T19:03:54+03:00

The opportunity cost of one extra restaurant meal in the time frame is 3 home meals.

<h3>What is opportunity cost?</h3>

Opportunity cost of the next best option forgone when one alternative is chosen over other alternatives. When the family chooses to go for the restaurant meal, they forgo the opportunity for a home meal.

Opportunity cost = 30 / 10 = 3

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