Implicit costs
A)Include only payments to workers and lenders.
B)Represent actual monetary payments made for resources used to produce a good such as oil.
C)Are the value of resources used for which no direct payment is made.
D)Are the total opportunity costs of resources and inputs used to produce a good.

Question

Quizplus · Accepted Answer

Implicit costs refer to the value of resources used for which no direct payment is made. It includes the opportunity cost of using resources that could have been used in the next best alternative. It doesn't include actual monetary payments made for resources. Hence, option C is the correct answer.

Implicit Costs