Which of the Following Best Distinguishes an Opportunity Cost from an Outlay

question 143

Multiple Choice

Which of the following best distinguishes an opportunity cost from an outlay cost?

• A) Opportunity costs are recorded, whereas outlay costs are not.
• B) Outlay costs are speculative in nature, whereas opportunity costs are easily traceable to products.
• C) Opportunity costs have very little utility in practical applications, whereas outlay costs are always relevant.
• D) Opportunity costs are sacrifices from foregone alternative uses of resources, whereas outlay costs are cash outflows.

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Definitions:

Timeframe

A period of time during which certain events occur or conditions apply; often specified or limited.

Schedule

A plan that lists the times at which specific events are intended to occur.

Work Plan

A detailed outline of tasks, activities, and milestones to achieve specific goals within a set timeframe.

Infinitive Phrase

A grammatical term referring to a phrase that begins with an infinitive verb, typically to express purpose or intention.