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:
“To be faced with what so-and-so’s mother lets him do, or what the teacher said in class today or what all the kids are wearing is to be required to reexamine some part of our belief structure. Each time we rethink our values we reaffirm them or begin to change them. Seen in this way, parenthood affords us an exceptional opportunity for growth.”
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