Opportunity cost

Question

If your tuition is $5,000 this semester, your books cost $600, you can only work 20 rather than 40 hours per week during the 15 weeks you are taking classes and you make $15 per hour, and your room and board is $3000 this semester (same as if not attending collage), then what is your opportunity cost of attenting collage this semester?

Answer 1

The opportunity cost of going to college includes the cost of tuition and books, plus foregone wages:

$5,000 + $600 + (20 hrs/week * 15 weeks * $15/hr) = $10,100