IN OTHER WORDS…

Accoun-

ting Cost

Oppor-

tunity Cost

Tuition $100,000 $100,000

Books $4,500 $4,500

Housing $50,000

Foregone Earnings $180,000

IN OTHER WORDS…

Year Nominal

Value

Average

Price

Real

Value

2014 $4,000 100 40

2015 $4,180 110 38

2016 $4,800 120 40

APPLY YOUR LEARNING

APPLY YOUR LEARNING

IN OTHER WORDS…

Number

of

Workers

Amount of

Machinery

Total

Output

Marginal

Product

1 $4m 10 10

2 $4m 24 14

3 $4m 39 15

⋮ ⋮ ⋮ ⋮

17 $4m 255 15

18 $4m 267 12

APPLY YOUR LEARNING

0

20

40

60

80

100

120

140

160

199

5

199

6

199

7

199

9

200

0

200

2

200

3

200

4

200

6

200

7

200

9

201

0

201

2

201

3