Sarah has an economics test tomorrow and plans to study all night. Her boyfriend, Charlie, wants her to go with him to a movie. The opportunity cost for Sarah to go to the movie is:
A) zero, if Charlie pays for her ticket.
B) less study time which may result in a lower grade.
C) equal to her enjoyment of the movie.
D) only $7.50 if she buys her own ticket.

Question

Quizplus · Accepted Answer

The opportunity cost of Sarah going to the movie is the value of what she gives up by not studying, which could lead to less study time and potentially a lower grade on her economics test.

Sarah Has an Economics Test Tomorrow and Plans to Study