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beks73 [17]
3 years ago
9

Lisa is choosing between three alternatives: a) working at her job that pays 60 dollars; b) writing a term paper which she value

s at 40 dollars; or c) going out with a friend, which she values at 80 dollars. The opportunity cost of writing the term paper is:a. 140 dollars.
b. 0 dollars.
c. 80 dollars.
d. 20 dollars.
Business
1 answer:
Mkey [24]3 years ago
7 0

Answer:

c. 80 dollars.

Explanation:

Opportunity cost represents the next best alternative missed.  It is the forfeited benefits arising from choosing one option over the others. Opportunity cost is expressed as a value or the worth of the forgone alternative.

Lisa's opportunity cost is $ 80.  She has valued going out with her friend at $ 80, which is the highest value amongst her three choices. Since she can not engage in all the three activities at the same time, the next best alternative to writing her exam is the opportunity cost.

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Answer:

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