Cashtoons

Opportunity Cost 1

May 28, 2022

When you decide to buy something, like a candy bar…

candy bar

You no longer have the money that you use to pay for the candy bar,

dollar

but you also loose the opportunity to buy all the other things or candy bars that cost the same as that item.

other candy bars

This is the opportunity cost. Do you buy a bike,

bike

or a surfboard?

surfboard

Do you get a new car,

house

Or invest your money in the stock market?

stocks

Every decision costs you the opportunity to do any number of other things with that money. This is opportunity cost.


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