Question
Fahad is trying to decide if he should take a job at an accounting firm or a job at a financial firm.Suppose that he will
Fahad is trying to decide if he should take a job at an accounting firm or a job at a financial firm.Suppose that he will get paid $50,000 a year at the accounting firm and $65,000 a year at the financial firm.To work at the financial firm, he will have to drive 45km, which will cost him $5000 a year, at the accounting firm, he will be able to walk.At the financial firm, they will provide free lunch, but at the accounting firm he will have to take his own lunch which will cost him $3 a day for the 261 work days that he will be there. Lastly, to work at either firm, he will have to pay $150 every six months for new shoes and dry cleaning.What will be the opportunity cost for Fahad if he takes the accounting job?
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