opportunity cost

Reaction score
can anyone explain why the answer is A
An individual has an appointment with his bank manager.
He has a choice between travelling to the appointment by car, or leaving the car at home and
travelling by bus and then by train. The costs of the journey are given below.
bus fare 2
train fare 3
car parking charge 4
petrol 2
car wear and tear costs 1
Given this information, what is the opportunity cost to the individual of travelling by car rather than
by bus and train?
A $2 B $4 C $7 D $12
Reaction score
Traveling by car means he incurs all cost relating to travelling by car . Firstly he needs to fuel the car and then park it wherever he goes . Moreover the fact that he uses the car it depreciates in value(the wear and tear costs ) . So overally him using the car means he experiences costs totalling $(2+4+1)=$7

Him travelling by bus on the other hand Only makes him incur the fare charges $(3+2)=$5

And knowing the definition of opportunity cost ... Its the difference of the two alternatives and thus him travelling by car means he incurs an extra $2 being the opportunity cost thus answer is A .

If he didn't need to refuel the car then there would be no opportunity costs because the two alternatives would be equal in value