You were able to purchase two tickets to an upcoming concert for $100 apiece when the concert was first announced three months a

Question

3 years ago

12

You were able to purchase two tickets to an upcoming concert for $100 apiece when the concert was first announced three months a

go. Recently, you saw that StubHub was listing similar seats for $225 apiece. What does it cost you to attend the concert?

Business

1 answer:

dusya [7] · Answer 1 · 2022-05-21T06:25:16+03:00

Answer: $450

Explanation:

Total tickets purchased = 2

The cost of one ticket three months ago = $100

Current price of one ticket = $225

Total cost of two tickets = $225 × 2

= $450

The opportunity cost is the benefit that is foregone by selecting some other alternative. So, here two options are available that either attend the concert or resell the ticket at $450. Therefore, the opportunity cost of attending the concert is $450.