Gross revenue minus explicit costs equals

Question

Quizplus · Accepted Answer

Gross revenue minus explicit costs equals accounting profit. Accounting profit is the difference between total revenue and the explicit costs incurred in producing goods or services. It does not take into account implicit costs, which are the opportunity costs of using resources that have alternative uses. Economic profit, on the other hand, subtracts both explicit and implicit costs from gross revenue. Therefore, accounting profit is the correct answer in this case.

Gross Revenue Minus Explicit Costs Equals