# Lucinda purchased a raffle ticket for $29. Just before the grand prize drawing, two people tried...

## Question:

Lucinda purchased a raffle ticket for $29. Just before the grand prize drawing, two people tried to buy her ticket. The first person offered $130, and another offered $165. What is Lucinda's opportunity cost of keeping the raffle ticket?

a. $194

b. $159

c. $58

d. $165

## Economics:

Economics deals with the studies of how individuals or nations produce, consume, buy, or sell goods and services given that economic resources are scarce. It also deals with giving up for something called the opportunity cost.

## Answer and Explanation: 1

Become a Study.com member to unlock this answer! Create your account

View this answerThe correct answer is option **d. $165.**

Always remember that when we are talking opportunity cost, we are talking about the value of the best...

See full answer below.

#### Ask a question

Our experts can answer your tough homework and study questions.

Ask a question Ask a question#### Search Answers

#### Learn more about this topic:

from

Chapter 1 / Lesson 6Learn what is opportunity cost, including the opportunity cost definition, assessment and examples. See how to calculate opportunity cost using the formula.

#### Related to this Question

- Lucinda purchased a raffle ticket for $21. Just before the grand prize drawing, two people tried to buy her ticket. The first person offered $90, and another offered $125. What is Lucinda's opportunity cost of keeping the raffle ticket? A. $42. B. $111. C
- Suppose that a person won the Florida lottery and was offered a choice of two prizes: (1) $500,000 or (2) a coin-toss gamble in which he or she would get $1 million if a head were flipped and zero for a tail. a. What is the expected dollar return on th
- The billboard for the Florida Lottery announces an $18,000,000 prize to the winner. The winner has the option of receiving the $18,000,000 paid in 30 annual installments of $600,000 or as a lump sum based on the present value of the payments. Assuming tha
- Ticket sales, Inc., receives $5,000,000 cash in advance ticket sales for a four-date tour of Bon Jovi. a. Record the advance ticket sales on October 31. b. Record the revenue earned for the first con
- The state of Florida sold a total of $36.1 million worth of lottery tickets at $1 each during the first week of January 2007. As prize money, a total of $41 million will be distributed over the next 2
- Winterhaven school is raising money to purchase new choir robes. The cost of the robes is $8,000, so the school will need to have a profit of $8,000 from the raffle. The raffle tickets will sell for $10 each. The variable cost of the raffle ticket is $2 a
- Max bought a ticket to the championship baseball game for $145. Someone approaches him outside the stadium and offers him $315 for his ticket. If Max decides to go to the game, instead of selling his ticket, how much does it cost Max to go to the game? A.
- Max bought a ticket to the championship baseball game for $110. Someone approaches him outside the stadium and offers him $245 for his ticket. If Max decides to go to the game, instead of selling his ticket, how much does it cost Max to go to the game?
- Max bought a ticket to the championship baseball game for $95. Someone approaches him outside the stadium and offers him $215 for his ticket. If Max decides to go to the game, instead of selling his ticket, how much does it cost Max to go to the game?
- Marty has just won the National Magazine Sweepstakes. He has two options for receiving his prize. The first option is to accept a $133,000 cash payment today. The second option is to receive $19,500 a
- Marty has just won the National Magazine sweepstakes. He has two options for receiving his prize. The first is to accept at $130,000 cash payment today. The second option is to receive $22,200 at the
- Alan Long has just learned he has won a $511,700 prize in the lottery. The lottery has given him two options for receiving the payments. (1) If Alan takes all the money today, the state and federal governments will deduct taxes at a rate of 47% immediatel
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $371,250 per month. Compute the number of tickets Storytim
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $371,250 per month. 1. Suppose Storytime Park cuts its tic
- You have just received notification that you have won the $3.0 million first prize in the Centennial Lottery. However, the prize will be awarded on your 100th birthday (assuming you're around to collect), 77 years from now. What is the present value of yo
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $37
- 6. Publicity is always paid by an organization. _ _ _ _ _ _ _ _ _ 7. Contests are consumers competing for prizes or money on the basis of skills or ability._ _ _ _ _ _ _ _ _ 8. Ariel (R) and Persil
- Leon Long has just learned he has won a $514,100 prize in the lottery. The lottery has given him two options for receiving the payments. (1) If Leon takes all the money today, the state and federal g
- Nadiya (28) is single. She paid $2,000 in eligible student loan interest during the year. She also received income from the following sources: $35,000 in wages. Unemployment income of $4,320. $300 in gambling winnings from a winning lottery ticket. What
- The Florida lottery agrees to pay the winner $266,000 at the end of each year for the next 20 years. What is the future value of this prize if each payment is put in an account earning 0.09?
- The Florida lottery agrees to pay the winner $248,000 at the end of each year for the next 20 years. What is the future value of this prize if each payment is put in an account earning 0.08?
- Max bought a ticket to the championship baseball game for $170. Someone approaches him outside the stadium and offers him $365 for his ticket. If Max decides to go to the game, instead of selling his
- If the Treasury also received $750 million in non-competitive bids, who will receive T-bills, in what quantity, and at what price? Bidder Bid Amount Price 1st $500 million $0.9940 5th $600 million $0.9939 4th $1 billion $0.9936 3rd $1.5 billion $0.9925 2n
- Nicholas wanted to take an important customer to a hockey game. Although the face value of a ticket was only $50, the only way he could get tickets was by paying a scalper $160 for each ticket. Assuming that all other deductibility requirements are met, h
- On December 27, 2016, Roberta purchased two tickets to a charity ball sponsored by the city of San Diego for the benefit of underprivileged children. Each ticket cost $325 and had a fair market value
- The prize in last week's Florida lottery was estimated to be worth $35 million. If you were lucky enough to win, the state will pay you $1.75 million per year over the next 20 years. Assume that the first instalment is received immediately. a. If interes
- Jane Bauer has won the lottery and has the following four options for receiving her winnings: 1. Receive $103,000 at the beginning of the current year. 2. Receive $110,210 at the end of the year. 3. Receive $20,320 at the end of each year for eight years.
- Jane Bauer has won the lottery and has the following four options for receiving her winnings: 1. Receive $100,000 at the beginning of the current year. 2. Receive $108,000 at the end of the year. 3. Receive $20,000 at the end of each year for eight years.
- Jane Bauer has won the lottery and has the following four options for receiving her winnings: 1. Receive $103,500 at the beginning of the current year 2. Receive $109,710 at the end of the year 3. R
- A local theater company sells 1,500 season ticket packages at a price of $250 per package. The first show in the ten-show season starts this week. (a) The sale of the season tickets before the first s
- A local theater company sells 1,450 season ticket packages at a price of $260 per package. The first show in the ten-show season starts this week. (a) The sale of the season tickets before the first
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $371,250 per month. If Storytime Park expects to sell 6,90
- You have just won the state lottery and have two choices for collecting your winnings. You can collect $100,000 (Option 1) today or receive $20,000 (Option 2) per year for the next seven years. A fina
- Cassie just won the lottery, and she must choose between three award options. She can elect to receive a lump sum today of $61 million, she can receive 10 end-of-year payments of $9.5 million, or she can receive 30 end-of-year payments of $5.5 million. a.
- Suppose you won the Florida lottery and were offered a choice of $500,000 in cash or a gamble in which you would get $1 million if a head were flipped but $0 if a tail came up. What is the expected value of the gamble?
- The local nonprofit youth symphony is planning a concert fundraiser. The organization estimates that 550 tickets can be sold for $16 per person. The fixed costs are $720. The local chamber of commerce office will process ticket orders for a fee of $4 per
- You could either receive $500,000 upfront or participate in a coin-toss gamble in which you would get $1 million for heads and zero for tails. What is the expected dollar return on the gamble?
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $371,250 per month. 1. Compute Storytime Park's contributi
- Laura receives a gift of real estate with an adjusted basis of $125,000 and a fair market value of $100,000. The donor paid gift tax of $14,000 on the transfer. If Laura later sells the property for $110,000, what is her recognized gain or loss?
- A local theater company sells 1,000 season ticket packages at a price of $255 per package. The first show in the ten-show season starts this week. Required: (a) The sale of the season tickets before
- John Long has just learned he has won a $505,400 prize in the lottery. The lottery has given him two options for receiving the payments. (1) If John takes all the money today, the state and federal governments will deduct taxes at a rate of 48% immediatel
- Jim purchases a ticket for $80 for a special concert by the symphony (a qualified charity). If the price of a ticket is normally $25, what is the amount allowed as a charitable deduction? a) $80 b)
- You have just won the Lucky Lottery. Lottery officials offer you the choice of two alternative payouts: either $4 million today or $8 million ten years from now. Which payout will you choose if the relevant discount rate is 10%?
- You have just won the Lucky Lottery. Lottery officials offer you the choice of two alternative payouts: either $4 million today or $8 million ten years from now. Which payout will you choose if the relevant discount rate is 0%?
- Consider that a buyer submits the winning bid on an auction website for a handmade quilt produced by Ms. A, but taken on consignment by Mr. B, who passed the right of sale on to Ms. C who created the
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickers at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $371,250 per month. Suppose Storytime Park cuts its ticket
- Bijou Museum sells 75% of its tickets for the regular price of $14. The remaining discount tickets are sold for the price of $10. Variable cost per guest is $2 for both groups and fixed costs total $6
- Bailey Mills recently won the jackpot in the New Jersey lottery while he was visiting his parents. When he arrived at the lottery office to collect his winnings, he was offered the following three payout options: a. Receive $40,000,000 in cash today. b. R
- Story Park competes with Splash World by providing a variety of rides. Story sells tickets at $50 per person as a one-day entrance fee. Variable costs are $10 per person, and fixed costs are $240,000
- You purchase baseball tickets last month when the team was doing poorly. You paid $100 a non-refundable ticket. Your best friend offered you $130 for the ticket now that the team is doing well. The opportunity cost of going to the game is: a. $30 b. $10
- Shaun is a huge college football fan. In the past, he has always bought football tickets on the street from ticket scalpers. This year, he decided to join the university's ticket program, which requir
- After a business meeting with a prospective client Laura took the client to dinner and the theatre. Laura paid $280 for the meal and $290 for the theatre tickets, amounts that were reasonable under th
- Alaina is coordinating a fundraiser in her company with a goal of $110,250. There are 160 people working on the first shift, 65 people working on the second shift, and 20 people working on the third shift. If each person were to make a one-time donation
- Story Park competes with Water World by providing a variety of rides. Story sells tickets at $ 90 per person as a one-day entrance fee. Variable costs are $ 18 per person, and fixed costs are $ 464,40
- Funday Park competes with Fun World by providing a variety of rides. Funday sells tickets at $85 per person as a one-day entrance fee. Variable costs are $17 per person and fixed costs are $428,400
- Mary is a sales person for Four Paws Pet Supply. She receives an incremental commission based on the table below. If she sells $9,800 and has already received a draw of $559.26, how much commission is still owed to Mary?
- Lucinda Lacy purchased a foreclosed house today for $105,500 by making a down payment of 15% of the purchase price and paying closing costs of: - Loan origination fee 1.7% of purchase price - Apprai
- Storytime Park competes with Cool World by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $28 per person, and fixed costs are $258,300 per month. a. Compute Storytime Parks' contributi
- A local theater company sells 1,900 season ticket packages at a price of $260 per package. The first show in the ten-show season starts this week. Calculate: (a) The sale of the season tickets before
- Nigel received a Land Rover from his mother as a gift. Mom had purchased the Land Rover two years earlier for $65,000, but its fair market value at the date of the gift was only $50,000. No gift tax was paid by Mom at time of the gift. a) If Nigel sells t
- Penny, a full-time biochemist, loves stock car racing. To feed her passion, she bought a used dirt-track car and has started entering some local dirt-track races. The prize money is pretty small ($1,000 for the winner ), but she is not in it for the money
- Mary is a travel agent. She intends to sell her customers a special round-trip airline ticket package. She is able to purchase the package from the airline carrier for $170 each. The round-trip tickets will be sold for $200 each and the airline intends to
- Crissie just won the lottery, and she must choose between three award options. She can elect to receive a lump sum today of $63 million, to receive 10 end-of-year payments of $9.6 million, or 30 end-o
- Storytime Park competes with DaisyWorld by providing a variety of rides. Storytime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $15 per person, and fixed costs are $371,250 per month. Suppose Storytime Park reduces fixed
- Imaginationtime Park competes with Splash World by providing a variety of rides. Imaginationtime sells tickets at $70 per person as a one-day entrance fee. Variable costs are $42 per person, and fixed
- A college student is reported in the newspaper as having won 10,000,000 dollars in the Kansas State Lottery. However, as is often the custom with lotteries, she does not actually receive the entire 10
- Sally is considering opening up a lemonade stand to earn some spending money over the summer. She estimates each glass of lemonade will cost her $1 to prepare for the sale. What does she need to sell it for in order to make $1.50 of gross profit on each g
- Funday Park competes with Water World by providing a variety of rides. Funday sells tickets at $100 per person as a one-day entrance fee. Variable costs are $60 per person, and fixed costs are $254,00
- Ruben intends to sell his customers a special round-trip airline ticket package. He is able to purchase the package from the airline carrier for $150 each. The round-trip tickets will be sold for $200 each and the airline intends to reimburse Ruben for an
- You have sold 840 tickets for an arena that holds 1200 attendees. 300 are student tickets at 5 dollars a seat and 540 are adult seats at 8 dollars a seat. The remaining 360 seat are adult seats. Estim
- On March 17, 2016, you won $527.25 million in the Powerball Lottery. The Multi-State Lottery Association gave you the choice of 30 equal annual payments with the first payment of $17.575 million due o
- The Florida lottery agrees to pay the winner $258,000 at the end of each year for the next 20 years. What is the future value of this prize if each payment is put in an account earning 0.07?
- If the Florida lottery agrees to pay the winner $265,000 at the end of each year for the next 20 years. What is the future value of this prize if each payment is put in an account earning 0.07?
- You have just won the state lottery and have two choices for collecting your winnings. You can collect $50,000 today or receive $10,100 per year for the next seven years. A financial analyst has told you that you can earn 10% on your investments. Which al
- A local theater company sells 1,500 season ticket packages at a price of $250 per package. The first show In the ten-show season starts this week. Show how to record: The sale of the season tickets b
- Playtime Park competes with Cool World by providing a variety of rides. Playtime sells tickets at $110 per person as a one-day entrance fee. Variable costs are $44 per person, and fixed costs are $412
- A city receives a donation from a citizen who specifies that the principal must be invested and the earnings must be used to support operations of a city-owned recreational facility. The principal of this gift should be accounted for in which of the follo
- Sillytime Park competes with Splash World by providing a variety of rides. Sillytime Park sells tickets at $120 per person as a one-day entrance fee. Variable costs are $30 per person, and fixed costs
- Funday Park competes with Cool World by providing a variety of rides. Funday Park sells tickets at $70 per person as a one-day entrance fee. Variable costs are $42 per person, and fixed costs are $170
- Mary is a travel agent. She intends to sell her customers a special round-trip airline ticket package. She is able to purchase the package from the airline carrier for 170 euros each. The round-trip tickets will be sold for 200 euros each and the airline
- Stony Park competes with Water World Ivy providing a variety of rides. Stony Park sells tickets at $50 per person as a one-day entrance fee. Variable costs are $10 per person, and fixed costs are $240
- Olivia wants to buy some vacant land for investment purposes. She cannot afford the full purchase price. Instead, Olivia pays the landowner $8,000 to obtain an option to buy the land for $175,000 anyt
- A college student is reported in the newspaper as having won $10,000,000 in the Kansas State Lottery. However, as is often the custom with lotteries, she does not actually receive the entire $10 mill
- Dorothy Fonda is an unmarried head of household with the following income for the year: Wages, $34,500; Bank interest, $275; Municipal bond interest, $115; Lottery prize, $325; Gift from her father, $5,000. Dorothy contributed $1,250 to her traditional IR
- In 1895, the first Putting Green Championship was held. The winner s prize money was $200. In 2014, the winner s check was $1,480,000. What was the percentage increase per year in the winner's check over this period?
- Sally is considering opening up a lemonade stand to earn some spending money over the summer. She estimates each glass of lemonade will cost her $1 to prepare for sale. What does she need to sell it for in order to make $1.50 of gross profit on each glass
- You are to receive $2,000,000 at the end of each year for the next 20 years. While the Lottery Commission refers to this as a $40,000,000 jackpot, if you choose the "cash option"
- You have just won the state lottery and have two choices for collecting your winnings. You can collect $50,000 today or receive $10,100 per year for the next seven years. A financial analyst has told you that you can earn 10 percent on your investments. W
- Jorge has just received a $2,000,000 payout for winning a local lottery. He plans to retire from his full-time job immediately and live completely off of his winnings. He plans to invest his winnings in an investment account earning 12% compounded annuall
- PY Sdn. Bhd. is examining the viability of a fund-raising concert in Sabah. What profit would result if 10,000 tickets were sold? Estimated fixed costs are $180,000. These include the fees paid to performers, the hire of the venue and the advertising co
- The MegaMillions jackpot is now $100 million dollars (imagine that echoes like the commercial). It will be paid out over 40 years at the start of the year. Or you can choose to receive a lump sum. If the proper discount rate to use is 5%, how much should
- Henry Long has just learned he has won a $500,600 prize in the lottery. The lottery has given him two options for receiving the payments. 1) If Henry takes all the money today, the state and federal governments will deduct taxes at a rate of 46% immediat
- Flounder sells 20 nonrefundable $100 gift cards for 3D printer paper on March 1, 2017. The paper has a standalone selling price of $100 (cost $80). The gift card's expiration date is June 30. 2017. Flounder estimates that customers will not redeem 10% of
- Janice is the buyer for a retail-clothing store. Her store has a policy of not accepting gifts. However, over the years, salesmen have offered, and other employees have accepted lunch, theater, and baseball tickets. Janice arrives home from the office and
- A local skating rink charges each person $5 to skate and another $3 for each skate rental. The rink has determined that on a daily basis, when 100 tickets are sold, the costs per skater are $.50 for v
- Marcus intends to sell his customers a special round-trip airline ticket package. He is able to purchase the package from the airline carrier for $150 per customer. The round-trip tickets will be sold for $200 each and the airline intends to reimburse Mar
- If SoakNSun expects to sell 1 individual ticket for every 3 family tickets, compute the weighted-average contribution margin per ticket.
- Lloyd gifted property to Louise. Lloyd's basis in the property was $1,200. The fair market value at the time of the gift was $1,400. Louise sold the property for $2,500. What was the amount of Louise's gain on the disposition?
- Emily paid $3 for a bottle of ThirstAid. Later while on a hiking trip, she was offered $8 for the ThirstAid. Select the Correct statement from the following: A. $8 offer is not relevant if Emily refus
- Jonathan purchases a block of 10 tickets to next Saturday's Nugget's game. The tickets cost $50 each. He keeps two tickets for himself and gives the remaining tickets to his business customers. Each customer receives two tickets, and Jonathan told all of