Explain why a relative price is an opportunity cost.
The money price of
a pound of bananasa pound of bananas
is
$0.400.40
and the money price of
a half gallon of milka half gallon of milk
is
$1.601.60.
Question content area bottom
Part 1
The opportunity cost of
a half gallon of milka half gallon of milk
is _______.
A.
$1.601.60,
the price of a half gallon of milka half gallon of milk
B.
4.004.00
pounds of bananaspounds of bananas,
which is the relative price of a half gallon of milka half gallon of milk
C.
$0.400.40,
the money price of
a pound of bananasa pound of bananas
D.0.25 half gallons of milk
0.250.25
half gallons of milk