Assume that a consumer has a given budget or income of $12 and that she can buy only two goods, apples or bananas. The price of an apple is $1.50 and the price of a banana is $0.75.
For this consumer, the opportunity cost of buying one more apple is:
a) 0.5 of a banana.
b) 2 bananas.
c) 0.8 of a banana.
d) 1 banana.
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