Maria has to choose between driving and taking a train to destination A. Traveling by train will cost her $400 and will take 4 hours. Driving to destination A takes 6 hours, and the required amount of gasoline costs $250. Her opportunity cost of time is $15 per hour.
-Refer to the scenario above.What is the total cost involved if Maria chooses to travel by train?
A) $60
B) $400
C) $420
D) $460

Question

Quizplus · Accepted Answer

The total cost of traveling by train includes the ticket cost ($400) plus the opportunity cost of her time (4 hours * $15/hour = $60), totaling $460.

Maria Has to Choose Between Driving and Taking a Train