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Susan is trying to decide whether to quit her $20,000 per year job so she can return to college next year as a full time student. If she goes to college next year, her books and supplies will cost $500, tuition will cost $3,000, and her other expenses (transportation, housing, and food) will increase by $2,000. What is Susan's opportunity cost of attending college next year?

A. $3,000
B. $3,500
C. $5,500
D. $25,500

Respuesta :

Answer:

D. $25,500

Explanation:

The computation of opportunity cost is shown below:

= Yearly job wages + Books and supplies cost + tuition cost + other expenses

= $20,000 + $500 + $3,000 + $2,000

= $25,500

Since in the question we have to find the opportunity cost for the next year and all the cost which is given in the question is for the next year. So we considered all the costs.