MEC refers to what type of return from an investment *
a. Expected rate of return
b. Actual profit
c. Expected rate of interest
d. actual interest
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Answer:
d actual interested. ....
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Marginal efficiency of capital (MEC) refers to expected rate of return.
MEC is the expected return/profitability of a capital resource. t may be characterized as the highest rate of return over cost anticipated from the minor or extra unit of a capital resource. The MEC is based on two factors: the potential yield of the capital resource and the stock cost of the capital resource. The MEC is the proportion of these two elements.
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