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What do economists the next best alternative that had to be given up for the one chosen?
opportunity cost
What is the opportunity cost of decision?
The next best thing that a person can engage in is referred to as the opportunity cost of doing the best thing and ignoring the next best thing to be done.
What is the the opportunity cost of a decision?
The next best thing that a person can engage in is referred to as the opportunity cost of doing the best thing and ignoring the next best thing to be done.
What is implicit cost of capital?
the opportunity cost or value of the best by a business
What is opportunity cost of competition?
this is best forgone altarnative
Why do choices have an opportunity cost?
If it is a choice, then you are deciding between two or more options. The opportunity cost of whatever you decide means you have chosen the best option, with the next best option foregone.
How is opportunity cost calculated?
finding the value of the best choice that is not chosen
What was its opportunity cost?
The cost of passing up the next best choice when making a decision. For example, if an asset such as capital is used for one purpose, the opportunity cost is the value of the next best purpose the asset could have been used for. Opportunity cost analysis is an important part of a company's decision-making processes, but is not treated as an actual cost in any financial statement.
Why is opportunity cost important?
The cost of passing up the next best choice when making a decision. For example, if an asset such as capital is used for one purpose, the opportunity cost is the value of the next best purpose the asset could have been used for. Opportunity cost analysis is an important part of a company's decision-making processes, but is not treated as an actual cost in any financial statement.
Opportunity cost is calculated by what?
Finding the value of the best option that is not chosen. apex
What is opportunity cost all about?
The cost of an alternative that must be forgone in order to pursue a certain action. Opportunity cost is the cost of any activity measured in terms of the value of the next best alternative forgone (that is not chosen). It is the sacrifice related to the second best choice available to someone. Opportunity cost is a key concept in economics, and has been described as expressing "the basic relationship between scarcity and choice". The notion of opportunity cost plays a crucial part in ensuring that scarce resources are used efficiently.
When one decision is made the next best alternative not selected is called?
Opportunity Cost
What opportuning cost?
Opportunity cost is the highest-valued alternative foregone in order to take an economic 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.
When one decision is made the next best alternative decision not selected is called?
Opportunity Cost
What do you understand by the term opportunity cost?
Opportunity cost is what you give up in order to get something else. Paying money is the opportunity cost for ice cream for example.
Is variable cost part of opportunity cost?
According to Wikipedia and definition with which I agree: Variable costs are expenses that change in proportion to the activity of a business.Variable cost is the sum of marginal costs over all units produced. Opportunity cost on the other hand is not included in the financials in any way shape or form. In manufacturing, electricity can be fixed but a portion can be variable depending on machinery and extended hours. The opportunity cost can be the cost of your time to perform certain duties versus and the benefit from the duty you cannot perform due to the one you chose to perform.
