The opportunity cost of a purchase is best measured by:
A) the amount of time it took to make the purchase.
B) the quantity of resources used to produce the purchase.
C) the number of workers needed to manufacture the purchase.
D) the alternative purchase that is forgone.

Question

Quizplus · Accepted Answer

The opportunity cost of a purchase is best measured by the value of the next best alternative that is given up as a result of making the decision to go ahead with the current purchase. This is because opportunity cost is a concept in economics that refers to the value of the best alternative that is not chosen, in order to pursue a certain action.

The Opportunity Cost of a Purchase Is Best Measured By