Question

Manuel is training for a triathlon, a timed race that combines swimming, biking, and running.

Answer 1

Answer:

1) The cost of something is what you give up to get it

Explanation:

Manuel is giving up earning $ 12 in his job for an hour swimming. Where he also has to pay an entrance fee of $ 4 for the pool. The real cost to him for swimming an hour is: $16.

Answer 2

Answer:

1) The cost of something is what you give up to get it

Explanation:

There are unlimited wants but limited resources available to satisfy these wants. Hence a scale of preference which shows these wants in order of importance is developed.

Due to the limited resources, not all wants can be satisfied hence the concept of opportunity cost which is the cost of the alternative forgone.

In this situation, the opportunity cost for swimming  is the $12 that would have been earned if he had gone to work.