Dave Is Majoring in Computer Information Development at University of Environmental

question 114

Multiple Choice

Dave is majoring in computer information development at University of Environmental Sustainability.While he has been attending university, Dave has started a computer consulting business to help local residents set up a local skill-sharing network.Dave charges $25 per hour for his consulting services.Dave also works five hours a week for the Arts Faculty to maintain its departmental web page.The Arts Faculty pays Dave $20 per hour.From this information we can conclude that:

• A)Dave should increase the number of hours he works for the Arts Faculty to make his income from it comparable to his consulting business income
• B)Dave is obviously not maximising his wellbeing if he continues to work for the Arts Faculty
• C)if Dave chooses one hour at the beach with his friends rather than spending one more hour with a consulting client, the forgone income of $20 is considered a cost of the choice to go to the beach
• D)if Dave chooses one hour at the beach with his friends rather than spending one more hour with a consulting client, the forgone income of $25 is considered a cost of the choice to go to the beach

---

Definitions:

Opportunity Cost

The lost benefits of the next best alternative when one alternative is chosen over another.

Price

The amount of funds expected, essential, or submitted in reimbursement for something.

Apples

A type of fruit that is grown on apple trees, known for its sweet taste and nutritional benefits, often consumed fresh or used in various dishes.

Bananas

Commonly refers to a type of fruit, but in economic terms, it could relate to the market dynamics or trade aspects of agricultural products.