An opportunity cost is:
A) An uncontrollable cost.
B) A cost of potential benefit lost.
C) A change in the cost of a component.
D) A direct cost.
E) A sunk cost.

Question

Quizplus · Accepted Answer

Opportunity cost refers to the cost of potential benefit lost when choosing one option over another. It is not an uncontrollable cost or a change in the cost of a component. It is also not a direct cost or a sunk cost, as it refers to the cost of foregone benefits rather than actual expenses.

An Opportunity Cost Is