# Economics

Andrew quits his job as an accountant where he earns \$60,000 per year to go back to school for two years to get an MBA degree. He attends a school that charges \$25,000 per year for tuition and related expenses. How much is the total cost (explicit cost plus opportunity cost) of that degree?

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1. Andrew is giving up \$120,000.00 by quitting his job for 2 years and the cost for the degree is 25,000 per year so its costing him \$170,000.00 for the degree.

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2. 160

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