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An individual pays $100 every month as rent for an apartment, and his monthly opportunity cost of commuting from the apartment to his place of work is $40. Which of the following statements is then true? A. The indirect cost of renting the apartment is $140. B. The direct cost of renting the apartment is $40, whereas the indirect cost of renting the apartment is $100. C. The direct cost of renting the apartment is $100, whereas the indirect cost of renting the apartment is $40. D. The direct cost of renting the apartment is $140.
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An individual pays $100 every month as rent for an apartment, and his monthly opportunity cost of co...
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