A furniture manufacturer has one production line. It uses a day's production time to make a batch of desks, although it could have used that time to make a batch of bookshelves. Which of the following is the opportunity cost of making the desks?
The batch of bookshelves the production line could have made instead
Nothing, because the firm already owns the production line it used
The money spent on the materials and labour used to make the desks
The money that would have been spent on materials for the bookshelves
77 exam-style questions on OCR GCSE Economics 1.2 The basic economic problem, covering 1.2.1 Scarce resources and unlimited wants, 1.2.2 The economic problem, 1.2.3 Opportunity cost, and 1.2.4 Costs and benefits of economic choices. Each one has a worked solution and a mark scheme showing where the marks go.