In order to properly ignore opportunity costs, the value of the next-best alternative and therefore all alternatives would have to be:
A) large and positive.
B) negative.
C) small.
D) zero.

Question

Quizplus · Accepted Answer

Opportunity costs represent the benefits an individual, investor, or business misses out on when choosing one alternative over another. Ignoring opportunity costs would imply that the value of the next-best alternative is zero, meaning it offers no benefit or value if foregone.

In Order to Properly Ignore Opportunity Costs, the Value of the Next-Best