A new startup airline is offering free round-trip tickets to anywhere to the first 600 people who enter the office on the airline's first day of business. You arrive 24 hours before it is scheduled to open to be sure to get the free tickets, and you buy food from vendors while waiting in line. The cost of the tickets to you is:
A)zero.
B)the cost of food while you wait in line.
C)the cost of food while you wait in line and the opportunity cost of your time spent in line.
D)the actual value of the ticket.

Question

Quizplus · Accepted Answer

While the ticket itself is free, there is an opportunity cost to your time spent waiting in line as well as the cost of the food you purchased while waiting. Therefore, the total cost to you is the cost of food while waiting in line and the opportunity cost of your time.

A New Startup Airline Is Offering Free Round-Trip Tickets to Anywhere