Kamryn is deciding between three potential activities on Saturday evening: 1) Staying at home and watching her favorite television show, an activity that she values at $18 and that entails no out-of-pocket costs. 2) Going to the movies with her sister to see the latest blockbuster action film, an activity she values at $30 and that entails $15 in out-of-pocket costs. 3) Going out to dinner with her best friend, an activity she values at $40 and that entails $23 in out-of-pocket costs. a) Which activity should Kamryn choose?

Question

Conor Atkinson

Business

5 August, 07:55

Kamryn is deciding between three potential activities on Saturday evening: 1) Staying at home and watching her favorite television show, an activity that she values at $18 and that entails no out-of-pocket costs. 2) Going to the movies with her sister to see the latest blockbuster action film, an activity she values at $30 and that entails $15 in out-of-pocket costs. 3) Going out to dinner with her best friend, an activity she values at $40 and that entails $23 in out-of-pocket costs. a) Which activity should Kamryn choose?

+1

Answers (2)

Know the Answer?

Marshmallow · Answer 1

The answer is option 1

Albert Potter · Answer 2

Answer

A. Staying at home and watching her favorite television show an activity that she values at $18 and that entails no out-of-pocket costs.

Explanation

While Kamryn decides the activity to choose, there are factors to consider which include the expenses that will be incurred with that particular choice. In the first example, the costs are low and Kamryn will still spend the evening as comfortable as planned while saving some dollars.