The opportunity cost of attending university is likely to include all except which of the following?

• A. The value of leisure time forgone
• B. Future higher earnings resulting from a university degree
• C. Tuition fees paid to the university
• D. Income that could have been earned from working full-time

Answer: (B)

Verified step by step guidance

1. Step 1: Understand the concept of opportunity cost. Opportunity cost refers to the value of the next best alternative foregone when making a choice. In the context of attending university, it includes all benefits you give up by choosing to study instead of doing something else.
2. Step 2: Identify the typical components of the opportunity cost of attending university. These usually include: (a) tuition fees paid to the university, (b) income that could have been earned from working full-time during the study period, and (c) the value of leisure time forgone because time is spent studying instead of relaxing or engaging in other activities.
3. Step 3: Analyze the option 'Future higher earnings resulting from a university degree.' This is not a cost but rather a potential benefit or return on investment from attending university. Therefore, it should not be included in the opportunity cost.
4. Step 4: Compare all options given and exclude the one that represents a benefit rather than a cost. The opportunity cost includes all costs and forgone alternatives, but not future gains.
5. Step 5: Conclude that the opportunity cost of attending university includes tuition fees, forgone income, and leisure time, but excludes future higher earnings resulting from the degree.