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a. With the use of an example, briefly explain the main difference between the ex-ante and the ex-post opportunity cost

Posted: Wed Jul 06, 2022 5:54 am
by answerhappygod
a. With the use of an example, briefly explain the maindifference between the ex-ante and the ex-post opportunity cost ofcapital. Why does this matter for the evaluation of an investmentdecision? (15 points)
b. In what ways can managers utilise the distinction betweenex-ante and ex-post opportunity cost of capital when deciding onthe firm’s strategy? (15 points)