Recall the Application about running a lawn-cutting business using solar-powered equipment to answer the following question(s).
-According to the Application,the opportunity cost of your invested capital is
A) the interest you could get if you invested in a savings account.
B) zero.
C) the revenue you could get once the capital is used.
D) the sum of the value of all your equipment.

Question

Quizplus · Accepted Answer

The application states that the opportunity cost of your invested capital is the interest you could earn if you invested in a savings account. This means that by investing in your lawn-cutting business, you are giving up the potential interest income that you could have earned if you had instead chosen to keep your money in a savings account or other investment vehicle.

Recall the Application About Running a Lawn-Cutting Business Using Solar-Powered