Howard needs to buy a laptop computer to start online university courses. The price at the local computer store is $650. The identical computer is available at one online site for $605 and another site, for $622. All prices include the appropriate sales tax. The accompanying table indicates the typical shipping and handling charges for the computer ordered online. Shipping methodDelivery timeChargeStandard shipping3–7 days$13.99Second–day air2 business days$18.98Next–day air1 business day$23.98In this situation, what are the opportunity costs of Howard choosing to buy online instead of at the local computer store? Note that if you buy the computer online, you must wait to get it.

Solution If he chooses to buy online then opportunity cost is forgone amount of homework he could have done .

Answered: Howard needs to buy a laptop computer…

MATLAB: An Introduction with Applications

6th Edition

ISBN:9781119256830

Author:Amos Gilat

Publisher:Amos Gilat

Chapter1: Starting With Matlab

Section: Chapter Questions

Problem 1P

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Howard needs to buy a laptop computer to start online university courses. The price at the local computer store is $650. The identical computer is available at one online site for $605 and another site, for $622. All prices include the appropriate sales tax. The accompanying table indicates the typical shipping and handling charges for the computer ordered online.

Shipping method	Delivery time	Charge
Standard shipping	3–7 days	$13.99
Second–day air	2 business days	$18.98
Next–day air	1 business day	$23.98

In this situation, what are the opportunity costs of Howard choosing to buy online instead of at the local computer store? Note that if you buy the computer online, you must wait to get it.

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