Definition of "Implicit cost"

Kim Schmitt & The Britt real estate agent
Kim Schmitt & The Britt, Real Estate Agent RE/MAX Advanced

Also called opportunity cost. The return foregone from an alternative employment of time or facilities. For example, if a building is rented out to a charity for a bingo night for $1,000 but it could have been rented out to a company for $10,000, the return foregone is $9,000.

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