Another Term to Describe the Normal Rate of Return on Capital

question 381

Multiple Choice

Another term to describe the normal rate of return on capital is the

• A) fixed cost of capital.
• B) depreciation cost of capital.
• C) opportunity cost of capital.
• D) monopoly rent.

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Definitions:

Shares

Units of ownership interest in a corporation or financial asset.

Investment Value

The worth of an asset or a company to a particular investor based on individual investment requirements and expectations.

Shares

Units of ownership interest in a corporation or financial asset, providing a proportion of the profit to shareholders in the form of dividends.