Which of the following can be an opportunity cost?

Question

Quizplus · Accepted Answer

All of the above can be considered opportunity costs. Opportunity cost refers to the cost of the best alternative forgone, and any of the above could represent that alternative. For example, choosing to invest in inventory could mean foregoing the opportunity to earn interest on that money. Choosing to maintain idle capacity could mean giving up the opportunity to use that space for more productive purposes. Choosing to underutilize labor could mean giving up the opportunity to use those workers for other tasks. A decline in an asset's value could mean foregoing the opportunity to sell that asset for a higher price in the future.

Which of the Following Can Be an Opportunity Cost