Asked by Amirul Hasan on Apr 29, 2024
Verified
Refer to Figure 2-4, Graph (a) . The opportunity cost of moving from point S to point R is
A) 2 books.
B) 2 DVDs and 2 books.
C) 2 DVDs.
D) 4 DVDs.
Opportunity Cost
The fiscal consequence of excluding the next most beneficial alternative from consideration during decision-making.
DVDs
Digital Versatile Discs, a type of optical storage media used for storing video, audio, and data in digital format.
Books
Published works consisting of written, printed, or blank pages fastened together and bound in covers.
- Understand the concept of opportunity cost and how it can be visualized on a production possibilities frontier (PPF).
Verified Answer
AP
Ashley PerrineApr 30, 2024
Final Answer :
C
Explanation :
The opportunity cost of moving from point S to point R involves giving up the production of 2 DVDs to produce more books, hence the correct answer is 2 DVDs.
Learning Objectives
- Understand the concept of opportunity cost and how it can be visualized on a production possibilities frontier (PPF).
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