Question

Ava has to decide between purchasing new shoes for her dress or new earrings. She decides to purchase the earrings. What is her opportunity cost?(1 point)
Responses

the benefit Ava receives from the shoes
the benefit Ava receives from the shoes

the cost of the shoes
the cost of the shoes

the cost of the earrings
the cost of the earrings

the benefit Ava receives from the earrings
the benefit Ava receives from the earrings
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Answer 1

The benefit Ava would have received from the shoes — i.e., the value of the next-best alternative she gave up.