Opportunity Cost of Capital

The opportunity cost of capital is the expected rate of return forgone by bypassing of other potential investment activities for a given capital. It is a rate of return that investors could earn in financial markets.

Famous quotes containing the words opportunity, cost and/or capital:

    Never miss an opportunity to allow a child to do something she can and wants to on her own. Sometimes we’re in too much of a rush—and she might spill something, or do it wrong. But whenever possible she needs to learn, error by error, lesson by lesson, to do better. And the more she is able to learn by herself the more she gets the message that she’s a kid who can.
    Polly Berrien Berends (20th century)

    The President has paid dear for his White House. It has commonly cost him all his peace, and the best of his manly attributes. To preserve for a short time so conspicuous an appearance before the world, he is content to eat dust before the real masters who stand erect behind the throne.
    Ralph Waldo Emerson (1803–1882)

    If little faults, proceeding on distemper,
    Shall not be winked at, how shall we stretch our eye
    When capital crimes, chewed, swallowed, and digested,
    Appear before us?
    William Shakespeare (1564–1616)