Opportunity cost refers to a cost where a person spends the money at a place where he could have spent or invested at any other platform and would gain better returns.
The above statetment is TRUE
It is a classic example of opportunity cost saved by you.
- In the above example , you haven't spent on lunch from canteen/cafeteria
- instead you invested the $8 into your savings account
- Now with this $8 in your savings account you earn interest (say 4%)
- You receive 8.24 at the end of the year as you earned $0.24 as interest.
- So, Your concluded opportunity cost is 8+0.24=8.24
Hence the above example holds true and is an example of opportunity cost
For more info on opportunity cost please refer the following link
https://brainly.com/question/623811
