Refer to the figure below. The opportunity cost of producing one bushel of wheat is:
A)2 bushels of corn.
B)½ of a bushel of corn.
C)1,000 bushels of corn.
D)500 bushels of corn.

Question

Refer to the figure below. The opportunity cost of producing one bushel of wheat is: 
A)2 bushels of corn. 
B)½ of a bushel of corn. 
C)1,000 bushels of corn. 
D)500 bushels of corn.

Quizplus · Accepted Answer

According to the figure, producing one bushel of wheat requires giving up ½ of a bushel of corn. This means that the opportunity cost of producing one bushel of wheat is ½ of a bushel of corn. Therefore, the correct answer is (B).

Refer to the Figure Below