Opportunity Cost: What It Is and How to Account for It
Opportunity cost calculation is essential to individuals, corporations and governments, where there are decisions to be made regarding limited resources like time, money and effort. Choosing one of the scarce resources always leads to a trade-off in gains.
It is important to account for risks associated with the different available options. Often the rewards that different options offer come with a certain risk.
SIMILAR ARTICLES & IDEAS:
Investing is about laying out cash or assets now, in the hope of more cash or assets returning to you tomorrow, or next year, or next decade.
Most of the time, this is best achieved th...
Banks don’t like to give away their money. That mindset is reflected in the interest rates of checking and savings accounts of 0,5% and 0.9% avg. annual interest respectively.
When you deposit your money in the bank, the bank turns around and invests that money at 7% a year or more. After they collect their profit, they give a tiny shaving of it to you.
Just about anything that you love to do can be turned into a profitable career. The key to identifying your interest areas is figuring out what you would do had you not been doing the job you ha...
Before charging money, it is recommended that you give people a taste of your services first if you want to turn your passion into profit.
For instance, if its photography, just offer to take photos for relatives for free. Surely, they would like to save money. This is how you establish yourself and prove your mettle to your potential clients.
You should be able to combine your chief interests with the other skills that you might possess.
If you are let’s say, planning to sell cakes, what is that other thing you are good at along with being a great baker? If you are also good at digital marketing, you can blog about baking practices.