Question

2. Darlene decides to spend two hours sunbathing in the afternoon rather than working at her job which pays $10 per hour. Darlene’s tradeoff is

A. the beautiful tan she obtains from sunbathing for those two hours.
B. the $20 she could have earned working for two hours.
C. nothing, because she enjoys sunbathing more than working.
D. nothing, because she enjoys working more than sunbathing.
E. nothing, because she spent $20 for suntan lotion and cold beverages to consume as she sunbathes.

Answer 1

When Darlene chooses to sunbathe instead of working, she is giving up the opportunity to earn $20.

Step-by-step explanation:

The trade-off Darlene faces when she decides to spend two hours sunbathing in the afternoon instead of working at her job that pays $10 per hour is the opportunity cost of the $20 she could have earned working for those two hours (option B). By choosing to sunbathe, Darlene is giving up the potential earnings from her job.