The opportunity cost of money is:

Question

The opportunity cost of money is:

A. the time spent going to the bank to withdraw funds.

B. the fees charged by banks to provide checking services.

C. the nominal interest rate.

D. the price level.

E. aggregate deman

Answer 1

C. the nominal interest rate

The opportunity cost is what you give up to get something.  What do you give up by holding money, the interest rate.  

Answer 2

C. the nominal interest rate.