Leah Berry is entering her senior year as an accounting major and has a number of options for her summer break. Her options for the 3-month break follow: (1) Work full time at a local accounting firm making $1,500 per month. (2) Take a summer class which will cost 200 per month and work half time making $1,600 per month. (3) Take two classes at a total monthly cost of $3,200 and not work at all during the summer. Leah’s opportunity cost of taking two classes if she chooses option 3 over option 1 would be: $3,200 per month. $1,700 per month. $1,200 per month. $1,500 per month. $1,400 per month.

Leah Berry is entering her senior year as an accounting major and has a number of options for her summer break. Her options for the 3-month break follow: (1) Work full time at a local accounting firm making $1,500 per month. (2) Take a summer class which will cost 200 per month and work half time making $1,600 per month. (3) Take two classes at a total monthly cost of $3,200 and not work at all during the summer. Leah’s opportunity cost of taking two classes if she chooses option 3 over option 1 would be: $3,200 per month. $1,700 per month. $1,200 per month. $1,500 per month. $1,400 per month.

Cornerstones of Cost Management (Cornerstones Series)

4th Edition

ISBN:9781305970663

Author:Don R. Hansen, Maryanne M. Mowen

Publisher:Don R. Hansen, Maryanne M. Mowen

Chapter7: Allocating Costs Of Support Departments And Joint Products

Section: Chapter Questions

Problem 16E

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