Thomas Cleverly purchased a vacant lot outside of London for £17,200. because he heard that a shopping mall was going to be built on the other side of the road. He figured that he could make a bundle by putting in a fast-food outlet on the site. As it turned out, the rumor was false. A sanitary landfill was located on the other side of the road, and the land was worthless. (£ denotes the British monetary unit, pounds sterling.

Although the new monetary unit, the Euro, has now been introduced in European markets, day-to-day business in the United Kingdom is still conducted in pounds sterling.)

Required: 

What type of cost is the £17,200 that Thomas paid for the vacant lot?