The opportunity cost of attending a university for a year is measured by:
A)the tuition fees incurred.
B)the size of the student loans the student becomes responsible for.
C)the sum of all expenditures on rent, food, books, and tuition incurred during the school year.
D)the value of the best opportunity or opportunities foregone in order to enroll for the year.

Question

The opportunity cost of attending a university for a year is measured by:
A)​the tuition fees incurred.
B)​the size of the student loans the student becomes responsible for.
C)​the sum of all expenditures on rent, food, books, and tuition incurred during the school year.
D)​the value of the best opportunity or opportunities foregone in order to enroll for the year.

Quizplus · Accepted Answer

The opportunity cost is the value of the best opportunity foregone, so the correct answer is D. Options A, B, and C may represent actual costs incurred, but they do not capture the true opportunity cost of attending university for a year.

The Opportunity Cost of Attending a University for a Year