What is a cost of attending college that is not an opportunity cost?

Opportunity cost help please!!!!!?

• Larry was accepted at three different graduate schools, and must choose one. Elite U costs $50,000 per year and did not offer Larry any financial aid. Larry values attending Elite U at $60,000 per year. State College costs $30,000 per year, and offered Larry an annual $10,000 scholarship. Larry values attending State College at $40,000 per year. NoName U costs $20,000 per year, and offered Larry a full $20,000 annual scholarship. Larry values attending NoName at $15,000 per year. 1. The opportunity cost of attending Elite U is ? a.50,000 b.10,000 c.120,000 d.5,000 e.impossible to determine 2. The opp. cost of attending State college is? a.30,000 b. 20,000 c. 15,000 d. 10,000 e. imppossible 3. Larry maximizes his surplus by attending a. elite because $60,000 is greater than the benefit at the other schools. b. state, the difference between the benefit/cost is greater there. c. no name y, larry has a full scholarship d. either no name or state - both have offered him scholarships e. elite, the opp. costs of attending elite are the lowest. PLEASE EXPLAIN HOW YOU GOT THE OPPORTUNITY COST!!!!!

• Answer:

  1. The opportunity cost of attending one school is the highest benefit that would be received from attending one of the others less the benefit of attending the school in question State is worth $20,000 per year to Larry. (It costs 30,000 less the 10,000 scholarship for a net cost of 20,000. He values his attendance at 40,000. 40,000 - 20,000 = 20,000 per year in net value) No name is free after scholarship, and he values it at 15,000 per year. So take the value of state, 20,000 and subtract the net value of elite (60,000 benefit - 50,000 cost = 10,000 benefit) and you get 10,000 in opportunity cost. B is the answer to 1. 2 B 3 B the highest net value is at state.