Question

Lois promised to take her nephew to the zoo on Tuesday afternoon. On Tuesday, her boss hands her a new project, due by the end of the day. Which of these is an opportunity cost of Lois using Tuesday to work on her project?
a. She and her nephew enjoy an afternoon at the zoo.
b. Her project will be late.
c. She could lose her job.
d. She will save the cost of two zoo tickets.

Answer 1

Answer:

Best answer a. She and her nephew enjoy an afternoon at the zoo.

Explanation:

Answer 2

Answer:

A) She and her nephew enjoy an afternoon at the zoo.

Explanation:

An opportunity cost are the extra costs incurred or benefits lost from choosing one activity or investment from another alternative.

In this case, Lois has to choose between taking her nephew to the zoo or working on the new project.

If she takes her nephew to the zoo, her opportunity cost will be not being able to work in the new project.

If she decides to work on the new project, her opportunity cost will be not being able to go to the zoo.