The future rental income that could have been earned if a building had not been sold is called a(n) ______ cost.

Question

Quizplus · Accepted Answer

Opportunity cost refers to the benefits that are missed or foregone when choosing one alternative over another. In this context, the future rental income that could have been earned if the building had not been sold represents an opportunity cost, as it is the income foregone by choosing to sell the building instead of continuing to earn rental income from it.

The Future Rental Income That Could Have Been Earned If