If Michelle used $1000 from her savings account,which was paying 6% interest annually,to invest in her brother's new sporting- goods store,the opportunity cost of her investment on an annual basis would be

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The opportunity cost of an investment is the return that could have been earned if the money had been invested elsewhere. In this case, Michelle's savings account was earning 6% interest annually. Therefore, the opportunity cost of her investment in her brother's store is the lost interest earnings of $60 (6% of $1000).

If Michelle Used $1000 from Her Savings Account,which Was Paying