The explicit cost of production is also called
A)variable cost.
B)accounting cost.
C)direct cost.
D)overhead cost.

Question

Quizplus · Accepted Answer

The explicit cost of production is the actual monetary cost incurred by a firm in the production process. It includes the cost of labor, raw materials, rent, and any other expenses that can be directly traced to the production process. This cost is also known as accounting cost, as it is recorded in a company's financial statements. The other options, variable cost, direct cost, and overhead cost are different types of costs that may or may not be considered explicit costs.

The Explicit Cost of Production Is Also Called