Question: What is an opportunity cost rate? How is this rate used in discounted cash flow analysis, and where is it shown on a time line?

What is an opportunity cost rate? How is this rate used in discounted cash flow analysis, and where is it shown on a time line? Is the opportunity rate a single number that is used to evaluate all potential investments?

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The opportunity cost rate is the rate of interest one could earn on an alternative investment ... View full answer

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