The return available by investing the capital elsewhere is known as

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Q. The return available by investing the capital elsewhere is known as
(A) profit rate
(B) discount rate
(C) opportunity cost
(D) return on investment

The answer is: (C) opportunity cost
The return available by investing the capital elsewhere is known as opportunity cost of capital. It is the potential (forgone) gain from investment A while taking the investment B.

Project Management MCQs