Project: Opportunity Cost
This project will focus on opportunity costs. Everything you do has an opportunity cost. Opportunity cost is what is given up because you choose to do something else. For example, if you want to go to the movies, the opportunity cost is you could have instead spent your money on clothes. Or, perhaps you could have spent your time doing a different activity. The task is to first fill in the table and then answer questions about your choices. During this project, you’ll accomplish the following:
- Identify what opportunity costs are.
When shopping for items, you need to make choices about what to spend your money on, or how much to keep and save. Below is a list of items that you may choose to purchase. How much of each item would you buy? Calculate the total amount spent on each item, and how much money you choose to save. You have $123. Make sure to use all the money.
|Item||Price Each||# Purchased||Total Spent|
|Gifts for others||$26||$|
|See a movie||$8||$|
|Money to SAVE||$|
also Explain why you made the choices you made.