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Opportunity cost is divided in to further two cost:Implicit cost and explicit cost
Suppose there is a man who has two options to earn
1. To go abroad
2. To start a business of printing from the capital which he had in amount of 1.4million
Now if he refuses the option of not to go abroad but from economics point of view he also refuses the income which he earn if he goes abroad He tolerates this income indirectly.But if he choose 2nd option he has to pay for starting the business
In this case implicit cost is the choosing of first option
and explicit cost is the choosing the second option
In other words explicit cost can be defined as the cost which is paid for acquiring resources
Opportunity cost is defined as the cost of using a resource in the best alternative. For example: Lets take for instance you have a car, which can either be used for taking your family for shopping or for business purposes (e.g as a cab) from which you can make US$500 a month. Therefore, the opportunity cost of using your car for personal purposes (e.g. taking your family for shopping) is US$500. Hope this helps!
If a gardener decides to grow carrots, and she could sell these for 50 dollars at the end of the season, and her next best option was to grow potatoes which sold for 60 dollars, the opportunity cost would be the 10 dollars she lost from not growing potatoes.
Opportunity cost is what you give up in order to have something else. Girl goes to a movie instead of shopping with friends. Her opportunity cost is shopping with friends.
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What are the examples to increase the opportunity cost in tourism?
the increased opportunity costs in tourism
Explain with the help of production possibility diagram the concept of opportunity cost?
Opportunity cost is the amount you might lose if you do not take the opportunity. You can write out the graph or find examples online.
What is opportunity cost and opportunity benefit?
Opportunity cost is the cost that an opportunity presents. The opportunity benefit is the benefit of the opportunity that is being presented.
What are the examples of opportunity cost in a business?
An opportunity cost means that, in order to do one thing, you must give up something else (those something else's are the opportunity costs). An example of an opportunity cost would be the large amount of money that would need to be invested in order for a company to make itself more environmentally-friendly (like installing solar panels).
What are some examples of an opportunity benefit?
if your mom tell u to do a chore and she give you allowance for doing it would be an example of opportunity benefit
What are the examples to increase the opportunity cost in tourism?
the increased opportunity costs in tourism
Explain with the help of production possibility diagram the concept of opportunity cost?
Opportunity cost is the amount you might lose if you do not take the opportunity. You can write out the graph or find examples online.
What are the examples of opportunity?
Some examples of opportunity costs are:giving up your favorite movie to study (in order to get good grades). The opportunity cost is the movie that has been forgone.attending Baseball training (in order to be a better player) instead of going to your favorite night club when the best artiste would be performing; the club has been forgone/opportunity cost/best next alternative.Opportunity costs are the benefits you could have received by taking an alternative action.
What are the example of opportunity cost?
Some examples of opportunity costs are:giving up your favorite movie to study (in order to get good grades). The opportunity cost is the movie that has been forgone.attending Baseball training (in order to be a better player) instead of going to your favorite night club when the best artiste would be performing; the club has been forgone/opportunity cost/best next alternative.Opportunity costs are the benefits you could have received by taking an alternative action.
What is opportunity cost and opportunity benefit?
Opportunity cost is the cost that an opportunity presents. The opportunity benefit is the benefit of the opportunity that is being presented.
What are the examples of opportunity cost in a business?
An opportunity cost means that, in order to do one thing, you must give up something else (those something else's are the opportunity costs). An example of an opportunity cost would be the large amount of money that would need to be invested in order for a company to make itself more environmentally-friendly (like installing solar panels).
Give two examples of the possible opportunity cost of a government building a new hospital?
Agriculture and animal husbandry
Advantages of the step method of cost allocation?
Advantages:Considers some of the interdependence of service departmentsDisadvantages:Resulting allocations are inaccurate estimates of opportunity costs.Allocation less than opportunity cost for first departmentAllocation more than opportunity cost for last department
What are some examples of opportunity?
If a gardener decides to grow carrots, and she could sell these for 50 dollars at the end of the season, and her next best option was to grow potatoes which sold for 60 dollars, the opportunity cost would be the 10 dollars she lost from not growing potatoes.
What does the word opportunity cost means?
Opportunity cost means that there is an opportunity to get something in a lower cost. __by Alondra Rico
What is the example of opportunity seeker?
examples of opportunity seekers
What you give up for taking some action is called the?
Opportunity Cost
