📚 Learning Guide
Opportunity Cost Analysis
easy

If a student chooses to spend their Saturday working at a part-time job instead of studying for an exam, what is the opportunity cost of their decision?

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Learning Path
Learning Path

Question & Answer
1
Understand Question
2
Review Options
3
Learn Explanation
4
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Choose the Best Answer

A

The money earned at the job

B

The knowledge gained from studying

C

The time spent at the job

D

The enjoyment of spending time with friends

Understanding the Answer

Let's break down why this is correct

Answer

The opportunity cost of choosing to work on Saturday instead of studying for an exam is the value of what the student gives up by not studying. In this case, the student might miss out on getting a better grade or understanding the material better, which could help them in the long run. For example, if they could have studied enough to raise their exam score by 10 points, that improvement is what they lose by working. Therefore, the opportunity cost is not just the time spent working, but also the potential benefits of studying. This shows how important it is to consider what we give up when we make choices.

Detailed Explanation

The opportunity cost is what you give up when you make a choice. Other options are incorrect because Some might think the money earned is the cost; Time spent at the job seems like a cost, but it's not the main loss.

Key Concepts

alternative choices
Topic

Opportunity Cost Analysis

Difficulty

easy level question

Cognitive Level

understand

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