What is an opportunity cost? How is this concept used in
TVM analysis, and where is...
What is an opportunity cost? How is this concept used in
TVM analysis, and where is it shown on a time line? Is a single
number used in all situations? Explain.
What is an opportunity cost? How is it used in a time value
analysis? Is the opportunity rate a single number that is used in
all situations? Integrate Bible passages into the discussion that
address the Christian worldview.
9.
An important concept used in incremental analysis is:
a.
Relevant
cost and revenues.
b.
Opportunity Cost.
c.
Sunk
Cost.
d.
All of
the above are used in incremental analysis.
What is an opportunity cost rate? How is this rate used in
discounted cash flow analysis, and where is it shown on a time
line? Is the opportunity rate a single number that is used to
evaluate all potential investments?
What is the concept describing of differential analysis? How is
this different from regular cost analysis?
How is differential analysis used in decision making? What type
of situations would you use differential analysis to help in your
decision making?
Explain the concept of opportunity cost and the Law of
Diminishing Returns. How are they related? Why economists use the
concept of opportunity cost when they want to determine cost rather
than the traditional view of cost, i.e., cost out of pocket?
Illustrate with an original and relevant example these concepts and
how they are related.
1. Explain the concept of opportunity cost and discuss how it
relates to the problem of choice between alternatives
2. In what ways does money facilitate specialization and
division of labour?
3. economics used to be known as the dismal science because it
pointed out that choices had to be made between scarce
alternatives. Assess the prospects of scarcity being eliminated in
the foreseeable future.