When a lending institution adds one more dollar of new capital to its balance sheet, the marginal cost of funds rises. The marginal cost of funds rise is the term used to describe this phenomenon. Incremental cost, also known as differentiable cost, or simply as the “cost of difference,” is a cost that is consideredContinue reading “Inflation-adjusted The Funds have been established. The phrase “Marginal Expense of Capital” is used to characterize the cost associated with this”