I want to know how I would set up this problem. I've been thrown into a Microeconomics class and it's been years since I've had any experience with opportunity cost equations. Could I possibly get some help with how to work this?
Suppose there are two ways of traveling from Boston to DC. The Megabus costs $25 each way and takes 4 and 1/2 hours. The Amtrak costs $100 and takes three hours. Different travelers may value their time differently (for instance, one traveler may value his time at $100 per hour, and another at $20 per hour). What time valuation (per hour) would make a traveler indifferent to the two bus options?