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What is the opportunity cost of changing production from 10 chairs To 40 chairs

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anthougo

The opportunity cost of changing production from 10 chairs to 40 chairs is the variable cost of producing the additional 30 chairs since the funds could have been invested in another project.

What is Variable Cost?

The variable cost is the portion of costs that changes with the output. If more of the same unit is produced, the variable cost changes in total but not per unit. The implication is that the fixed cost will not change as output changes. This assumption is relevant within the relevant range.

Thus, the opportunity cost of changing production from 10 chairs to 40 chairs will only involve the variable cost because the fixed costs will not change within the relevant range.

Learn more about the opportunity, variable, and fixed costs here: https://brainly.com/question/1968254

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