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Business, 24.07.2020 03:01 asia231

Elinore is asked to invest $5100 in a friend's business with the promise that the friend will repay $5610 in one year. Elinore finds her best alternative to this investment, with similar risk, is one that will pay her $5508 in one year. U. S. securities of similar term offer a rate of return of 7%. What is the opportunity cost of capital in this case?

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