Economics 2281 · O Level · Opportunity cost

Opportunity cost — practice question

A woman does baking at home, producing small cakes. In one hour, she is able to make 30 cakes, and she spends four hours working each day. The ingredients cost a total of $50, and each cake is sold for $2. What is the opportunity cost if she takes a working day for a holiday?

  • A$50
  • B$240
  • C30 cakes
  • D120 cakes

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