Opportunity cost rate
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Opportunity cost rate is the rate of return available on the best alternative investment of similar risk.
Definitions
According to Financial Management Theory and Practice by Eugene F. Brigham and Michael C. Ehrhardt (13th edition),
- Opportunity cost rate. The rate of return available on the best alternative investment of similar risk.
Related concepts
- Financial management. A combination of enterprise efforts undertaken in order to procure and utilize monetary resources of the enterprise.
