Answer to Question #62571 in Economics of Enterprise for Ghassan
rachel works as a carpenter and earns 22 per hour . she has a dentist appointment which wii take 3 hours . she must take a taxi for 15 each way to and from the appointment , and the dentist charge 120 for the chekup . calculate the opportunity cost for rachel to go the dentist . in your answer , define opportunity cost ?
opportunity cost =cost of implementing the option selected(120+15*2) + lost income from the rejected option(22*3). opportunity cost =120+15*2+22*3=216