What do wages paid to factory workers, interest paid on a bank loan, forgone interest, and the purchase of component parts have in common?
A)None are either implicit or explicit costs.
B)All are opportunity costs.
C)All are implicit costs.
D)All are explicit costs.

Question

Quizplus · Accepted Answer

All these costs represent opportunity costs, as they involve the sacrifice of potential benefits from alternative uses of resources.

What Do Wages Paid to Factory Workers, Interest Paid on a Bank