Saturday afternoon you can either attend a street festival,work and earn $100,or study for your midterm exam.You flip a coin between the street festival and studying,but did not really consider working.The coin flip determined that you would stay home and study.The opportunity cost of the time spent studying includes:

Question

Quizplus · Accepted Answer

The opportunity cost of studying is the benefit that could have been received at the street festival. Working and earning $100 is not considered because it was not a choice given in the initial scenario. Earning a high score on the midterm is not an opportunity cost since it is the direct benefit of studying.

Saturday Afternoon You Can Either Attend a Street Festival,work and Earn