Question

You win $200 in a basketball pool. You have a choice between spending the money now...

You win $200 in a basketball pool. You have a choice between spending the money now or putting it away for a year in a bank account that pays 3% interest.

Which of the following is in the opportunity cost of putting the $200 in a bank account for one year?

The value you could obtain by spending the money now.

Nothing, because you won the money.

The $206 you would have a year from now.

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