[...] is the most valuable alternative investors give up when they choose what to do with money.
Answer
Opportunity cost
Tags
#reading-6-time-value-of-money
Question
[...] is the most valuable alternative investors give up when they choose what to do with money.
Answer
?
Tags
#reading-6-time-value-of-money
Question
[...] is the most valuable alternative investors give up when they choose what to do with money.
Answer
Opportunity cost
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Subject 1 Time Value of Money and Interest Rates e return required by investors or lenders to postpone their current consumption. Discount rate is the rate used to discount future cash flows to allow for the time value of money (that is, to bring a future value equivalent to present value). <span>Opportunity cost is the most valuable alternative investors give up when they choose what to do with money.
In a certain world, the interest rate is called the risk-free rate. For investors preferring current to future consumption, the risk-free interest rate is the rate of compensation
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