Stitches

Which of the following expressions captures the meaning of opportunity cost?

Which of the following expressions captures the meaning of opportunity cost? (Points : 1) 1 A penny saved is a penny earned. 2 A fool and his money are soon parted. 3 A stitch in time saves nine. 4 There's no such thing as a free lunch.

Public Comments

1. 4) Every use of your resources has an opportunity cost. Instead of walking to the store, you could have mown the lawn. The opportunity cost of the trip to the store is the unmown lawn. If someone offers to buy you lunch, you'll have an obligation of some kind in their minds that they will be looking to cash in on later. The opportunity cost is a negative here. Free now, pay later.