QUESTION 4 polnts Save Answer Suppose you won a free ticket to see an Eric Clapt

Question

QUESTION 4 polnts Save Answer Suppose you won a free ticket to see an Eric Clapton concert You can't resell Bob Dylan is performing on the same night and his concert is the only other activity you are considering A Dylan ticket costs $30 and on any given day you would be willing to pay as much as $45 to see him perform in other words. Dylian Sicket is sold for more than S45 you would pass to see him even if you had nothing else to do) There is no other cost of seeing ether pertomer whati your opportunity cost of atending the Clapton concert? (A) $0 (B) $15 (C) $30 (D) $45 Please your answer selection in the space below and support your answer with a detailed explanation

Explanation / Answer

Answer is B. $ 15.

Explanation: The opportunity cost of Concert is the benefit foregone of Bob Dylan performance which he has not attended. The net benefit of performance is $ 15 (i.e. $ 45 which he is willing to pay and amount actually paid)

Related Questions

Navigate

• Browse (All)
• Browse Q
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.