Opportunity cost
This is an old revision of this page, as edited by Aschlafly (talk | contribs) at 22:42, March 17, 2007. It may differ significantly from current revision.
Opportunity cost is the value lost by choosing one alternative instead of another. It is the value of the sacrificed alternative in choosing something else.
It is not recognized in calculating accounting cost or profits, but is recognized in calculating economic costs and profits.