The values of premium second-hand watches have been rising and a Luxury Investment Index says they are
Question:
The values of premium second-hand watches have been rising and a Luxury Investment Index says they are expected to appreciate 68 percent over 10 years. But investing in watches is risky.
Their prices don’t always rise.
a. What is the cost of buying a watch?
b. What is the opportunity cost of owning a watch?
c. Does owning a watch create an economic profit opportunity?
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ANSWER a The cost of buying a watch would be the purchase price of the watch This includes any assoc...View the full answer
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