Scenario 8-2 Tom Mows Stephanie's Lawn for $25. Tom's Opportunity Cost of Cost

Multiple Choice

Scenario 8-2
Tom mows Stephanie's lawn for $25. Tom's opportunity cost of mowing Stephanie's lawn is $20, and Stephanie's willingness to pay Tom to mow her lawn is $28.
-Refer to Scenario 8-2.Assume Tom is required to pay a tax of $10 each time he mows a lawn.Which of the following results is most likely?

A) Stephanie now will decide to mow her own lawn, and Tom will decide it is no longer in his interest to mow Stephanie's lawn.
B) Stephanie still is willing to pay Tom to mow her lawn, but Tom will decline her offer.
C) Tom still is willing to mow Stephanie's lawn, but Stephanie will decide to mow her own lawn.
D) Tom and Stephanie still can engage in a mutually-agreeable trade.