Answer to: Income tax payments are an example of ___. a. implicit costs b. explicit costs c. normal return on investment d. shareholder wealth...
Explain the differences between explicit and implicit costs. Give examples of each. Explain the cost/benefit analysis as a policy analysis tool. Explain how absolute advantage differs from comparative advantage. 1. What are the differences between pre-conventional morality,...
An example of an implicit cost of production would beA.the income an entrepreneur could have earned working for someone else.B.the cost of raw materials for producing bread in a bakery.C.the cost of a delivery truck in a business that rarely makes delive
There are two types of cost, implicit and explicit costs. Explicitcost An explicit cost is an out-of-pocket cost, i.e., payments we make. In other words, when there is an explicit cost, there is a seller and buyer, i.e., there is a transaction. If I have a business and pay my...
Cost and Cost Minimization Types of Costs Explicit Costs: Costs that involve a direct monetary outlay. Implicit Costs: Costs that do not involve outlays of cash. Example: money that an airline can get by renting, rather than actually using, its own plane. Opportunity Costs: The value...
While accounting profit is a critical metric, it is important to distinguish it fromeconomic profit, which incorporates both explicit and implicit costs. Implicit costs, also known as opportunity costs, represent potential earnings from alternative uses of resources. For example, if a business owner ...
aFor example, the time and effort that an owner puts into the maintenance of the company, rather than working on expansion, can be viewed as an implicit cost of running the business. 例如,所有者放入公司的维护的时间和努力,而不是工作在扩展,可以被观看作为经营业务的含蓄费用。[translate]...
Answer and Explanation:1 The statement is true. Explicit costs are defined as expenses paid using the tangible assets of a given company. In other words, we can define... Learn more about this topic: Explicit Cost Definition, Importance & Examples ...
An economic profit is the difference between the revenue received from sales and theexplicit costsof producing its goods and services, as well as anyopportunity costs. Opportunity costs are a type ofimplicit costdetermined by management and will vary based on different scenarios and perspectives. ...
Total Revenue - Explicit Cost - Implicit Cost = 0 or Total Revenue = Explicit + Implicit Costs Implicit costs, also known as opportunity costs, are costs that will influence economic and normal profit. A business will be in a state of normal profit when itseconomic profitis equal to zero,...