Ask Question
BusinessBusiness
24 December, 15:05

Your aunt is thinking about opening a hardware store. She estimates that it would cost $300,000 per year to rent the location and buy the stock. In addition, she would have to quit her $45,000 per year job as an accountant. What is the opportunity cost of something

+5
Answers (1)
  1. 24 December, 16:37
    0
    Opportunity cost = $345,000

    Explanation:

    Given:

    Total investment = $300,000

    Give up job revenue = $45,000

    Opportunity cost = ?

    Computation of opportunity cost:

    Opportunity cost refers to the price we are willing to lose to get something.

    Opportunity cost = Total investment + Give up job revenue

    Opportunity cost = $300,000 + $45,000

    Opportunity cost = $345,000
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “Your aunt is thinking about opening a hardware store. She estimates that it would cost $300,000 per year to rent the location and buy the ...” in 📙 Business if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
When you complete a job but use more time and everything and truly necessary how have you worked? A. Efficiently but not effectively
Answers (1)
A company has the following balance sheet. What is its net operating working capital? Cash $ 10 Accounts payable $ 30 Short-term investments 30 Accruals 10 Accounts receivable 50 Notes payable 50 Inventory 40 Current liabilities 90 Current assets
Answers (1)
You have two equal investments that always have exactly opposite returns. how will your total value of both investments vary over time. a. it will go upb. it will go downc. it will stay the same
Answers (1)
Nathan's Athletic Apparel has 1,500 shares of 6%, $100 par value preferred stock the company issued at the beginning of 2020. All remaining shares are common stock.
Answers (1)
Gnp is a better measure of total economic output in the u. s. than gdp. a. true b. false
Answers (1)
New Questions in Business
What is the process in which union and company representatives meet to negotiate a new labor contract called?
Answers (1)
For June, Gold Corp. estimated sales revenue at $400,000. It pays sales commissionsthat are 4% of sales. The sales manager's salary is $190,000, estimated shippingexpenses total 1% of sales, and miscellaneous selling expenses are $10,000.
Answers (1)
Why is simple interest useful for planning parts of your financial future? a. Simple interest can endure unforeseen economic changes by fluctuating. b. Simple interest generates more money than any other source of income. c.
No Answers
The term externalities refers to Select one: a. regulations imposed on a firm by government. b. a nation that is a trading partner of another nation. c. the costs of production that are incurred by society. d.
Answers (1)
What will always cause a supply curve to shift to the left? A. future expectations of falling prices B. fewer inputs C. excise taxes
Answers (1)
Home » Business » Your aunt is thinking about opening a hardware store. She estimates that it would cost $300,000 per year to rent the location and buy the stock. In addition, she would have to quit her $45,000 per year job as an accountant.
Sign Up Forgot Password?