Suppose the Chicago Cubs could rent out Wrigley Field (the field they play on)to local youth leagues for $11,000 per month.The $11,000 per month is the _____ cost of capital.

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The $11,000 per month is the implicit cost of capital because it represents the opportunity cost of using the field for something other than renting it out to local youth leagues. This cost is not directly paid out but is the foregone income from the next best alternative use of the asset.

Suppose the Chicago Cubs Could Rent Out Wrigley Field (The