BACHELOR OF BUSINESS ADMINISTRATION

Detailed explanation-1: -Answer and Explanation: The term that refers to the most desirable alternative given up as a result of a decision is known as opportunity cost.

Detailed explanation-2: -It is within the context of scarcity that economists define what is perhaps the most important concept in all of economics, the concept of opportunity cost. Opportunity cost is the value of the best alternative forgone in making any choice.

Detailed explanation-3: -The simple definition of opportunity cost is: Opportunity Cost is the benefit foregone related to the alternative choice when a decision is made. In other words, an opportunity cost is the regret you anticipate from not taking another option.

Detailed explanation-4: -The statement is TRUE. The significance of the better opportunity foregone in a specific choice is referred to as opportunity cost. It’s not just the money spent on that option. Limited availability, preference, and opportunity cost are central concepts in economic analysis.

Detailed explanation-5: -Answer and Explanation: Of the given statements about opportunity costs, (a) III only is TRUE. I. The opportunity cost of a given action is equal to the value foregone of all feasible alternative actions.