The opportunity cost of an action is the
A)monetary payment the action required.
B)value of the most highly valued alternative action given up.
C)cost of all alternative actions that could have been taken.
D)none of the statements associated with this question are correct.

Question

Quizplus · Accepted Answer

The opportunity cost of an action is the value of the most highly valued alternative action given up. This means that the best choice(s) would be the ones that have the lowest opportunity cost, or in other words, the ones that require giving up the least valuable alternative action.

The Opportunity Cost of an Action Is the