The Opportunity Cost of Capital Will Generally Be Higher Than

question 47

True/False

The opportunity cost of capital will generally be higher than the interest rate offered by Australian government securities with the same term, for a risk-free investment.

---

Definitions:

Operational Plans

Detailed, short-term plans that outline how to achieve an organization's strategic objectives, focusing on specific tasks and responsibilities.

Strategic Plans

Long-term, detailed action plans designed to achieve an organization's goals and objectives.

Organisational Objectives

Defined goals and aims that a business or an organization seeks to achieve, guiding its strategy and operational activities.

Mitigation Planning

The process of developing strategies and actions to reduce or eliminate risks and their potential impacts on an organization or project.