The foregone benefit of choosing one alternative over another is measured by:
A)opportunity costs.
B)activity-based costs.
C)differential costs.
D)capital costs.

Question

Quizplus · Accepted Answer

Opportunity costs measure the benefits forgone of choosing one alternative over another, which is a central concept in economic decision-making. Activity-based costs measure the cost of performing a specific activity, while differential costs measure the difference in costs between two alternatives. Capital costs measure the costs associated with financing investments or projects.

The Foregone Benefit of Choosing One Alternative Over Another Is