When You Chose a Major,you Likely Thought About Your Skills

question 89

Multiple Choice

When you chose a major,you likely thought about your skills.Let's say you do not enjoy dealing with numbers.How could you explain to your parents,using logic from economics,why you chose to major in English instead of mathematics?

• A) The opportunity cost of learning mathematics is too high.
• B) The opportunity cost of learning to appreciate literature is too high.
• C) The expected value of a major in English after graduation is low.
• D) The expected value of a major in mathematics after graduation is high.
• E) The opportunity cost of going to college is too low.

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Definitions:

Total Costs

The sum of all expenses incurred by a business in producing goods or services, including fixed and variable costs.

Net Present Value

The divergence in the current worth of cash entering and leaving an entity throughout a specified timeframe.

Forecasting Risk

The risk of inaccuracies in predicting future outcomes, often impacting financial planning and decision-making in businesses.

Cash Flow Projections

Forecasts of a company's cash inflows and outflows over a specific period, aiding in financial planning and liquidity management.