The opportunity cost of one more slice of pizza in terms of cans of soft drink is the
A)total number of cans of soft drink that we have divided by the total number of pizza slices that we have.
B)price of a pizza slice minus the price of a can of soft drink.
C)number of cans of soft drink we have to give up in order to get one extra pizza slice.
D)number of pizza slices we have to give up in order to get one extra can of soft drink.
E)total number of pizza slices that we have divided by the total number of cans of soft drink that we have.

Question

Quizplus · Accepted Answer

The opportunity cost of one more slice of pizza in terms of cans of soft drink is the number of cans of soft drink we have to give up in order to get one extra pizza slice. This is because opportunity cost is defined as the cost of the next best alternative use of a resource. So, in this scenario, the next best alternative to having one more slice of pizza is having one less can of soft drink. Therefore, the opportunity cost is the number of cans of soft drink we have to give up to get one extra slice of pizza.

The Opportunity Cost of One More Slice of Pizza in Terms