Elinore is asked to invest $5,000 in a friend's business with the promise that the friend will repay $5,500 in one year's time. Elinore finds her best alternative to this investment, with similar risk, is one that will pay her $5,400 in one year's time. U.S. securities of similar term offer a rate of return of 7%. What is thre opportunity cost of capital in this case? A. 9% B. 8% C. 10% D. 7%