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Susan quits her administrative job, which pays $40,000 a year, to finish her four-year college degree. Her annual college expenses are $8,000 for tuition, $900 for books, and $2,500 for food. The opportunity cost of attending college for the year:

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jscuervo1992

Answer:

The opportunity cost is $28.600

Step-by-step explanation:

The opportunity cost is the value of the best alternative that is rejected. If Susan goes to college loses what he would win from her salary minus any potential gains from investment in education in college. It can be found as this:

Expenses: 8000 + 900 + 2500 = 11.400

So OCost is: 40.000 - 11.400 = 28600

She would lose 28.600 of income per year because of going to college.

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