When one invests in a common stock, the opportunity cost of doing so exposes him to all of the following risks EXCEPT:
A) market risk.
B) systematic risk.
C) credit risk.
D) business risk.
Answer: Opportunity cost is the opportunity given up when an economic decision is made. In the investment field, it generally refers to the risks taken versus keeping money in a risk-free investment such as the 90-day Treasury bill. When one invests in common stock, there is no credit risk because there is no credit - stock is equity, not a debt.