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.