Question

A factory that makes a part has significant idle capacity. The factory's opportunity cost of making this part is equal to: the total manufacturing cost per unit. the variable manufacturing cost per unit. zero. the semivariable cost per unit. the fixed manufacturing cost per unit.

Answer 1

The correct option is "Zero"

Step-by-step explanation:

Opportunity cost known as an advantage that an individual could have gotten, yet offered up, to go in another direction. Expressed in an unexpected way, an open door cost speaks to an elective surrendered when a choice is made. This expense is, along these lines, generally applicable for two fundamentally unrelated occasions. In contributing, it is the distinction consequently between a picked speculation and one that is essentially passed up.

A manufacturing plant that makes a section has critical inert limit. The processing plant's chance expense of making this part is equivalent to zero