Which of the Following Is Least Likely to Influence the Opportunity

question 86

Multiple Choice

Which of the following is least likely to influence the opportunity cost of an asset?

• A)its current market value
• B)alternative uses for the asset
• C)the current demand for the asset
• D)its current book value

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Definitions:

Decision Making

is the process of selecting a course of action from multiple alternatives to achieve a specific objective.

Liabilities

Financial obligations or debts that a company owes to outside parties, including loans, accounts payable, mortgages, and accrued expenses.

Stockholders' Equity

The equity capital that is contributed by shareholders plus the retained earnings of the company. It represents the residual value of assets after liabilities have been settled.

Creditors' Risk

The risk that debtors will default on their obligations, resulting in financial loss for creditors.