The opportunity cost of any action is
A) all the possible alternatives given up.
B) the highest-valued alternative given up.
C) the benefit from the action minus the cost of the action.
D) the dollars the action cost.

Question

Quizplus · Accepted Answer

The opportunity cost of any action is the highest-valued alternative given up when that action is chosen. It represents the benefits you could have received by taking the next best alternative action.

The Opportunity Cost of Any Action Is