Which of the following statements about opportunity cost is TRUE? Powerpoint Presentations When the producing division has no excess capacity, the opportunity cost is the foregone contribution from the lost sale. d) I and III only. a.) PO Box 16122 Collins Street West It is what could have been done with … B) Fixed Cost Is The Same Thing As Variable C) Costs Look The Same From All Perspectives. 10. A) Market participants act as if guided by an "invisible hand" to produce outcomes that promote general economic well-being. 2. A friend offers to buy the concert ticket from him from $25. Which of the following concepts explains why production possibilities frontiers slope downwards? Opportunity costs only measure direct out of pocket expenditures. Which of the following statements is true about the direct method of allocating support department costs to production departments? Opportunity cost accounts for alternative uses of resources such as time and money. Answer A-Income-earning investment opportunities exist. Which of the following statements about the concept of opportunity cost is true? A) Scarcity refers to the situation in which unlimited wants exceed limited resources. 4. 197) A) Target return on investment is an example of a cost-based method. They regulate some aspects of production and distribution. The opportunity cost of a given action is equal to the value foregone of all feasible alternative actions. b) I and III only. He was willing to pay $220 for the concert ticket at the time he bought it, but only had to pay $70. Which of the following statements about money is not true? Which of the following statements is true about scarcity? Answer: 1 2 3 Most relevant text from all around the web: Suppose that you are willing to pay $20 to see a movie on Saturday night. Which of the following statements about opportunity cost is true? Theo (a UVic student) has bought a concert ticket, for an event scheduled in Vancouver during the final exam period. d) None of the statements is true. III. 0. By definition, economics is the study of. A ticket costs $10, and the next-best alternative use of your time would be to go to dinner with a friend. B) Scarcity is not a problem for the wealthy. Opportunity cost is equal to implicit costs plus explicit costs. Econ103Midterm1Samples. The opportunity cost of a given action is equal to the value foregone of all feasible alternative actions. a) III only. B)Comparative advantage is interesting theoretically, but it is not relevant when evaluating real-world economic conditions. Opportunity cost accounts for alternative uses of resources such as time andmoney.a) I, II and III.b) Ic) III only.d) I and III only.2. Resume Writing 2. b) $20. A)The opportunity cost of a decision is the cost of all possible alternatives to the good produced. 3. d) All of the above. (a) The opportunity cost of a college education is measured only by the payments for tuition and books (b) The opportunity cost of a decision is strictly monetary (c) Some decisions have zero opportunity cost. 31 times. Opportunity cost is equal to implicit costs plus explicit costs. B) These methods focus on the demand side of the pricing problem and involve stimulating demand and decreasing revenue. Sociology Papers Suppose you play a round of golf costing $75. Medical Papers. The opportunity cost of seeing the movie is equal to: 9. Lab Reports c) Taking actions whenever the marginal benefit exceeds the marginal cost. I. 2. It influences consumers. Which of the following statements is true about comparative advantage? D) Scarcity arises when there is a wide disparity in income distribution. Opportunity cost accounts for alternative uses of resources such as time and money. a) I, II and III. Political Science Papers (d) The opportunity cost of a decision is the next best foregone alternative. Opportunity cost is best described by which of the following statements? D) The higher the opportunity costs, the lower is the relevant cost. The cost of the dinner is $20 and you value the experience of having dinner with your friend at $60. B-Present dollars are worth more than future dollars. d) I and III only. If you were not playing golf you could be working and earning $40 per hour. The opportunity cost of a given action is equal to the value foregone of all feasible alternative actions. What do Theo’s SUNK COSTS equal? Sciences, Culinary Arts and Personal It is the benefit which is foregone when making a choice. 2. It exists because resources are scarce. a) I II and III. Edit. III. Biology Papers a) I, II and III. You are willing to pay $80 for the concert and the concert ticket costs $50. It influences producers. 10) Which one of the following may be the best measure of company performance since it 10) accounts for the opportunity cost of capital? Which one of the following statements is not true about a work breakdown structure (WBS)? B. b) I c) III only. The opportunity cost of going to the movie is: 3. The value of the next best option given up when making a decision. It encourages people to spread their resources around. When the final exam schedule is published, Theo learns that he has an exam on the evening of the concert. a year ago. Suppose Alphonso's town raise the price of bus... 1. Question: Which of the following statements about opportunity cost are true? Opportunity costs only measure direct out of pocket expenditures. a) I, II and III. Suppose that you deciding between seeing a move and going to a concert … (a) It is the value of all alternatives you pass up when you make a choice (b) It is value of the best alternative you give up when you make a choice (c) It can only be measured in dollar terms (d) It is the same for all individuals (b) It is the value of the best alternative you give up when you make a choice. A consultant who earns $100 per hour takes four... Four Guys Company has in its inventory 5,000... Is it true or false? 1. Which of the following statements about opportunity costs is TRUE? b.) C) It is recorded as an expense in the accounting records. A ticket costs $15, and the next-best alternative use of your time would be to go to a concert which costs $80 and you value at $100. To calculate accurately the opportunity cost of an action we need to first identify the next best alternative to that action. Opportunity cost is equal to implicit costs plus explicit costs. III. Use the production possibilities frontiers in Exhibit 4 to answer the following question. Use the increasing cost or bowed outward... Law of Increasing Opportunity Cost: Definition & Concept, Deadweight Loss in Economics: Definition, Formula & Example, How to Calculate Economic Profit: Definition & Formula, What is Relative Price? 11th - 12th grade. Which of the following statements is true when a firm is maximizing its profit? d) Marginal analysis. C) Scarcity is only a problem when a country has too large a population. (Assume that the only relevant costs are those above.). Earn Transferable Credit & Get your Degree, Get access to this video and our entire Q&A library. Services, Working Scholars® Bringing Tuition-Free College to the Community. Opportunity cost may vary with circumstances. d. It is the cost that has already been incurred and cannot be recovered 1. I only. a) I, II and III. You are willing to pay $20 to see the movie and the movie ticket costs $5. d) I and III only. I. When the producing division has excess capacity, the transfer decision should be based on the outlay cost. 0. Take an opposing view to a peer and present a logical argument supporting an alternate opinion. Opportunity costs only measure direct out of pocket expenditures. B) It is the income foregone by not using a resource in an alternative way. All other trademarks and copyrights are the property of their respective owners. Which of the following statements is true about a market economy? I. It assists in anticipating profits. Suppose that you deciding between seeing a move and going to a concert on a particular Saturday evening. Opportunity cost is equal to implicit costs plus explicit costs. a) I, II and III. The opportunity cost of seeing the movie is equal to: a) $15. Which of the following statements about cost reductions is true? It thus accounts for the benefits foregone from the available alternatives which could have been undertaken using the time and money. b. Suppose that you are willing to pay $20 to see a movie on Saturday night. b) I c) III only. JC should operate, since its loss is less than its fixed cost. All of the following regarding PPF are true EXCEPT: Opportunity Cost DRAFT. D) Incremental Cost Is The Same Thing As Marginal Cost. Which of the following statements is true of opportunity costs? III. Coursework Writing 5. To calculate accurately the opportunity cost of an action we need to first identify the next best alternative to that action. a wbs breaks down a project into smaller activities that can be successfully estimated. Opportunity cost is equal to implicit costs plus explicit costs. I. … It influences consumers. Which of the following statements about opportunity cost are true ? Opportunity cost only measures direct monetary costs. Cost reduction often requires improvements in the delivery of care. The direct method allocates only some of the support department costs directly to production departments and is more accurate than the reciprocal services method. Opportunity cost only measures direct monetary costs. III. Which of the following statements about opportunity costs is TRUE? Opportunity cost only measures direct monetary costs. B)Many decisions do not involve an opportunity cost. Opportunity cost is equal to implicit costs plus explicit costs. Dissertation Writing Help Art Papers Scholarship Essay Writing Opportunity cost only measures direct monetary costs. , use at least two of These prompts: do you agree with your ’... ] which of the following statements about opportunity cost is best described by of! Is maximizing its profit its loss is less than its fixed cost optimal decision-making involves: a Target... Is the cost that is not relevant when evaluating real-world economic conditions Degree, Get access to this and! 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