Which of the following expenses is not considered part of the opportunity cost when you go on vacation?

Multiple choice question for Introduction To Economics. Select an option, then review the explanation below.

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The cost of tickets to a live performanceThe income foregone by not working while on holidayThe price paid for flight ticketsThe amount spent on meals

Explanation

Opportunity cost includes all costs directly related to the decision to go on holiday, such as entertainment expenses (A), lost earnings from not working (B), and travel costs (C). However, the money spent on food (D) is not part of the opportunity cost since you would have to eat whether you were on holiday or not.

Practice related questions from the same subject.

1.Which of the following factors directly influences the supply curve?
2.Under what condition is a market considered to be in equilibrium?
3.What type of relationship is depicted when a graph shows that as the values on the horizontal axis increase, the values on the vertical axis decrease?
4.Which two elements are essential to construct a straight-line graph?
5.How can a nominal value be converted into a real value?

Which of the following expenses is not considered part of the opportunity cost when you go on vacation?

Explanation

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