The most valuable investment given up if an alternative investment is chosen is a(n) :

A) Salvage value expense.
B) Net working capital expense.
C) Sunk cost.
D) Opportunity cost.
E) Erosion cost.

Opportunity Cost

The economic consequence of not opting for the immediate secondary option when a decision is made.

Salvage Value

An approximation of an asset's value at the conclusion of its effective lifespan.

Erosion Cost

The gradual loss of asset value due to factors like wear, tear, and technological obsolescence, affecting long-term profitability.