Kate takes a part-time job and the sacrifice of study time causes her grade point average to fall from 3.5 to 2.9.Assume that the grade point average would have stayed at 3.5 if study time had not been reduced.The opportunity cost of having taken the job is the
A) cost of tuition
B) 3.5 grade point average
C) 0.6 decrease in the grade point average
D) 2.9 grade point average
E) money earned from the part-time job

Question

Quizplus · Accepted Answer

The opportunity cost of taking the part-time job is the cost of what was given up as a result of that decision, which in this case is the decrease in the grade point average from 3.5 to 2.9. Therefore, the correct answer is C, 0.6 decrease in the grade point average. The other options, such as the cost of tuition or the money earned from the part-time job, are not relevant to the opportunity cost in this scenario.

Kate Takes a Part-Time Job and the Sacrifice of Study