23. an opportunity cost is entailed in which of the following situations? i. a student decides to attend…

23. an opportunity cost is entailed in which of the following situations? i. a student decides to attend college full - time ii. a family uses its $20,000 savings to purchase an automobile iii. a farmer decides to grow more wheat and less corn a. i only b. ii only c. iii only d. i and iii only e. i, ii, and iii

23. an opportunity cost is entailed in which of the following situations? i. a student decides to attend college full - time ii. a family uses its $20,000 savings to purchase an automobile iii. a farmer decides to grow more wheat and less corn a. i only b. ii only c. iii only d. i and iii only e. i, ii, and iii

Answer

Brief Explanations:

Opportunity cost is the value of the next - best alternative forgone. In situation I, the student forgoes other uses of time and money by attending college full - time. In situation II, the family forgoes other uses of the $20,000 by using it to buy an automobile. In situation III, the farmer forgoes the production of corn when choosing to grow more wheat.

Answer:

e. I, II, and III