Basic of Opportunity Cost

Opportunity cost

     Opportunity cost is said when we have to choose between two goods or we can say that the value of choice between best alternative. We can also say that the we can choose next highest opportunity value rather than previous. We can also define the opportunity that next best alternative foregone.

EXAMPLE;-

        One of my friend VINAY went to buy a new phone with me un the mobile store in KOLKATA.. the mobile sales man showed him a variety of phone in according to his need and features he wants in his phone. He showed him two phones newly launched that is MI NOTE 5 PRO and SAMSUNG J7 PRIME, nearly same price MI NOTE 5 PRO priced was ₹ 1500 and SAMSUNG J7 PRIME price was ₹ 14500. Vinay choose MI NOTE 5 PRO instead of SAMSUNG J7 PRIME. The opportunity cost was ₹ 14500 because VINAY choose best next alternative goods.