Which of the following statements about explicit costs is true?
A)They are the only costs that matter to business owners.
B)They usually exceed implicit costs.
C)They are difficult to measure.
D)They appear on the firm's balance sheet.

Question

Quizplus · Accepted Answer

Explicit costs are the actual payments a firm makes to its factors of production and other suppliers, and so would show up on a firm's balance sheet.

Which of the Following Statements About Explicit Costs Is True