Mark is a computer company executive,earning $200 per hour managing the company and promoting its products.His daughter Regan is a high school student,earning $6 per hour helping her grandmother on the farm.Mark's computer is broken.He can repair it himself in one hour.Regan can repair it in 10 hours.Mark's opportunity cost of repairing the computer is lower than Regan's.

Question

Quizplus · Accepted Answer

Mark's opportunity cost is $200 (the amount he could earn in one hour), while Regan's opportunity cost is $60 (the amount she could earn in 10 hours). Therefore, Mark's opportunity cost is higher than Regan's.

Mark Is a Computer Company Executive,earning $200 Per Hour Managing