Question

What is the opportunity cost of producing 75 cars, 63 cars, 55 cars, 20 bags of rice, and 60 bags of rice?

A. The value of 75 cars
B. The value of 20 bags of rice
C. The value of 55 cars
D. The value of 60 bags of rice

Answer 1

The opportunity cost of producing 75 cars, 63 cars, 55 cars, 20 bags of rice, and 60 bags of rice is the value of the next best alternative that is given up in order to produce those cars or bags of rice. The correct answer is option D - The value of 60 bags of rice.

Step-by-step explanation:

The opportunity cost of producing 75 cars, 63 cars, 55 cars, 20 bags of rice, and 60 bags of rice is the value of the next best alternative that is given up in order to produce those cars or bags of rice.

In this case, the opportunity cost can be calculated by considering what else could have been produced with the resources used to produce the cars or bags of rice. The correct answer is D. The value of 60 bags of rice, as it represents the value of the forgone alternative for producing 55 cars.