Store Local Shoe Store Different Neighborhood in Town Rural Outlet Travel Time Each Way (Minutes) 15 30 60 Ciana earns an hourly wage of $60 at her job. In order to purchase her sandals she will have to take time off work, so each hour away from her job costs her 500 in lost income. Assume that Ciana's travel time is the same each way (to and from the store) and that it will take her 30 minutes once she reaches a store to complete her shopping. Assume throughout the question that Ciana incurs no additional costs other than the sandals, such as Store Local Shoe Store Complete the following table by computing the opportunity cost of Ciana's time and the total cost of shopping at each location. Opportunity Cost of Time. (Dollars) Price of a Sandals (Dollars per sandals) 132 96 68 Different Neighborhood in Town Rural Outlet Price of a Sandals (Dollars per sandals) 132 96 88 0 Total Cost (Dollars) Assume that Ciana considers both her opportunity costs and the price of sandals when making her shopping decision. Ciana will minimize her cost of buying the sandals if she shops at the El 831

Store Local Shoe Store Different Neighborhood in Town Rural Outlet Travel Time Each Way (Minutes) 15 30 60 Ciana earns an hourly wage of $60 at her job. In order to purchase her sandals she will have to take time off work, so each hour away from her job costs her 500 in lost income. Assume that Ciana's travel time is the same each way (to and from the store) and that it will take her 30 minutes once she reaches a store to complete her shopping. Assume throughout the question that Ciana incurs no additional costs other than the sandals, such as Store Local Shoe Store Complete the following table by computing the opportunity cost of Ciana's time and the total cost of shopping at each location. Opportunity Cost of Time. (Dollars) Price of a Sandals (Dollars per sandals) 132 96 68 Different Neighborhood in Town Rural Outlet Price of a Sandals (Dollars per sandals) 132 96 88 0 Total Cost (Dollars) Assume that Ciana considers both her opportunity costs and the price of sandals when making her shopping decision. Ciana will minimize her cost of buying the sandals if she shops at the El 831

Microeconomics

13th Edition

ISBN:9781337617406

Author:Roger A. Arnold

Publisher:Roger A. Arnold

Chapter16: Interest, Rent, And Profit

Section: Chapter Questions

Problem 2WNG

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