7. Opportunity Costs exist when (4 points)

History

1 answer:

max2010maxim [7]2 years ago

5 0

Answer:

People make choices about what to buy.

Explanation:

Opportunity cost also known as the alternative forgone, can be defined as the value, profit or benefits given up by an individual or organization in order to choose or acquire something deemed significant at the time.

Simply stated, it is the cost of not enjoying the benefits, profits or value associated with the alternative forgone or best alternative choice available.

Hence, the opportunity cost of buying a product is the utility (satisfaction) that could be derived in another product using the same amount of money.

For example, if you decide to use your money to buy a Playstation 5, your opportunity cost would be the satisfaction you could have derived if you had invested the same amount of money in buying a bike for easy transportation.

Hence, opportunity costs exist when people make choices about what to buy.

You might be interested in

Percentage of US Homes with Electricity A bar graph titled Percentage of U S Homes with Electricity. The x axis shows the years

kykrilka [37]

Answer:

The answer to this question is given below in the explanation section

Explanation:

In this question, a scenario is given about inferencing information from the given data. The data that is given in the question about the percentage of US Homes with Electricity and it is depicted in the bar-graph as attached to this solution.

In this scenario, Which statement is supported by the information presented in the chart?

People owned fewer electrical appliances in the 1920s than in earlier decades.

More rural homes than urban homes had access to electricity in the 1920s. The number of houses with electricity would decrease after the 1930s.

Demand for electricity increased in the 1920s and 1930s.

The correct answer to this question is 3, that is the demand for electricity increased in the 1920s and 1930s in rural and urban.