Question

The cost of the next best alternative use of money, time, or resources, when one

choice is made rather than another

Question 7 options:

opportunity cost


User Assessment


Alternative Banking


Search Cost

Answer 1

opportunity cost

Step-by-step explanation:

Opportunity cost is the foregone benefit of missing out on the second-best alternative. It represents the value missed by choosing one product over the other.

We all make choices because resources of time and money are limited. Every time we decide to spend time or money in one way, we sacrifice the benefits of the other available options. The value of the best missed available option is the opportunity cost.