Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Juanita makes $16 an hour at work. She has to take time off work to purchase her suit, so each hour away from work costs

Juanita makes $16 an hour at work. She has to take time off work to purchase her suit, so each hour away from work costs her $16 in lost income. Assume that returning to work takes Juanita the same amount of time as getting to a store and that it takes her 30 minutes to shop. As you answer the following questions, ignore the cost of gasoline and depreciation of her car when traveling.

Store: Travel Time Each way Price Per suit

Local Department Store 15 103

Across Town 30 89

Neighboring City 60 63

Compute the time and cost it would take at each location:

Store: Opportunity Cost of Time Price per suit Total Cost

Local Department Store ? 103 ?

Across Town ? 89 ?

Neighboring City ? 63 ?

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Principles Of Macroeconomics

Authors: Lee Coppock, Dirk Mateer

2nd Edition

0393614093, 9780393614091

More Books

Students also viewed these Economics questions

Question

1. What does this mean for me?

Answered: 1 week ago