Scenario 12-3
Gary is a senior majoring in computer network development at Smart State University.While he has been attending college,Gary started a computer consulting business to help senior citizens set up their network connections and teach them how to use e-mail.Gary charges $25 per hour for his consulting services.Gary also works 5 hours a week for the Economics Department to maintain that department's Web page.The Economics Department pays Gary $20 per hour.
-Refer to Scenario 12-3.Which of the following statements is correct?
A) Gary should increase the number of hours he works for the Economics Department to make it comparable to his consulting business income.
B) Gary is not maximizing his well-being if he continues to work for the Economics Department.
C) If Gary chooses one hour at the beach with his friends rather than spend one more hour with a consulting client,the forgone income of $25 is considered a cost of the choice to go to the beach.
D) Both b) and c) are correct
Correct Answer:
Verified
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