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Zielflug [23.3K]
3 years ago
11

If option A is 20 dollar payment and option B requires 50 dollar payment. The opportunity cost of option A would be ------- and

option B would be --------. a) nothing and 30 dollars. b) 70 dollar and nothing c) 30 dollar and nothing
Mathematics
1 answer:
Alecsey [184]3 years ago
3 0

Answer:

a) nothing and 30 dollars.

Step-by-step explanation:

Opportunity cost usually arises when faced with choices or alternatives such that one has to be chosen, while the other is forgone. The benefits forgone by choosing a certain option of the available choices is called opportunity cost.

Given that :

Option A requires $20 payment

Option B requires $50 payment

Opportunity cost of choosing A = nothing (since payment required for the other alternative is higher than the chosen option)

Opportunity cost of Choosing B = ($50 - $20) = $30 (By choosing option B over option A, $30 was forgone as the other option (option A requires $30 lesser payment)

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Step-by-step explanation:

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