Ken and traci are two woodworkers who both make tables and chairs. in one month, ken can make 3 tables or 18 chairs, whereas traci can make 8 tables or 24 chairs. given this, we know that the opportunity cost of 1 table is

Opportunity Cost (of 1 Table) = 6 Chairs for Ken

Opportunity Cost (of 1 Table) = 3 Chairs for Traci

Explanation:

Opportunity cost is the "cost" incurred when one foregoes the benefit associated with the best substitute choice

In this case, we have Ken and Traci

Both Ken and Traci can choose either to make Tables or Chairs

Opportunity Cost = Return on Most Profitable Investment Choice - Return on Investment Chosen to Pursue

Ken

Makes 3 Tables or 18 Chairs, this implies that for every Table made, 6 Chairs could have been made

Opportunity Cost (of 1 Table) = 6 Chairs

Traci

Makes 8 Tables or 24 Chairs, this implies that for every Table made, 3 Chairs could have been made

Opportunity Cost (of 1 Table) = 3 Chairs

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