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You have just woken up and are trying to decide whether to attend an upcoming lecture....

You have just woken up and are trying to decide whether to attend an upcoming lecture. The following are the costs and benefits you are considering. Tuition          is $7,000 per semester; Books are $500 per semester; Driving to class is $10; Wages earned if you went to work instead are $35; How much you value an extra hour of sleep = $25; The cost of tuition and books ___________ be included in your calculations because they are an example of ________________ costs.

First empty space ____ should/ should not

Second empty space _____ marginal /sunk/ opportunity

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Answer #1

If you were to calculate the benefits incurred by it, you would calculate the wages as your earnings and here you shouldn't include the cost of tuition as if you choose to work they turn out to be opportunity costs.

Therefore 'should not' and 'opportunity' are the answers for this question

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