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.
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Opportunity cost of capital — Expected return that is foregone by investing in a project rather than in comparable financial securities. The New York Times Financial Glossary … Financial and business terms
opportunity cost of capital — expected return that is forgone by investing in a project rather than in comparable financial securities. Bloomberg Financial Dictionary … Financial and business terms
Opportunity cost — Economics … Wikipedia
cost of capital — noun the opportunity cost of the funds employed as the result of an investment decision; the rate of return that a business could earn if it chose another investment with equivalent risk • Syn: ↑capital cost • Hypernyms: ↑opportunity cost … Useful english dictionary
opportunity cost — The economic cost of an action measured in terms of the benefit foregone by not pursuing the best alternative course of action. The cost of funds, for example, must be measured in terms of the returns they could earn in the capital markets for… … Accounting dictionary
opportunity cost — The economic cost of an action measured in terms of the benefit foregone by not pursuing the best alternative course of action. The cost of funds, for example, must be measured in terms of the returns they could earn in the capital markets for… … Big dictionary of business and management
opportunity cost — noun cost in terms of foregoing alternatives • Hypernyms: ↑cost • Hyponyms: ↑cost of capital, ↑capital cost, ↑carrying cost, ↑carrying charge … Useful english dictionary
Weighted average cost of capital — The weighted average cost of capital (WACC) is the rate that a company is expected to pay to finance its assets. WACC is the minimum return that a company must earn on existing asset base to satisfy its creditors, owners, and other providers of… … Wikipedia
valuation opportunity cost — The potential increase in firm value associated with investments that are for gone due to capital rationing. Bloomberg Financial Dictionary … Financial and business terms
cost — The opposite of revenue. An expense that reflects the price of purchasing goods, services and financial instruments. A cash cost means that cash is given up today to the purchase. Also, the purchase price of an investment, which is compared to… … Financial and business terms
