Ellie decides to spend two hours taking a nap rather than attending her classes. Her opportunity cost of napping is Group of answer choices a. the value of her nap less the value of attending class. b. the value of the knowledge she would have received had she attended class. c. the $24 she could have earned if she had worked at her job for those two hours. d. nothing, since she valued sleep more than attendance at class.

b. the value of the knowledge she would have received had she attended class.

Explanation:

Opportunity cost is defined as the loss of benefits or profit that could have been gotten by choosing a particular thing over the other. For example, choosing to buy processed food over cooking.

The opportunity cost there is the loss of cooking skill that would have been gotten had the person prefered to cook over buying processed food.

In the case of Ellie, her opportunity cost is the value of knoeledge she could have gotten had she decided to sacrifice her sleep (the 2 hours nap she took).

b. the value of the knowledge she would have received had she attended class.

Explanation:

Ellie's opportunity cost of taking the nap rather than attending the class is the value of knowledge she would have received had she attended the class.

Opportunity cost is the value of an alternative forgone.