What is the term for the amount of money that a wheat farmer could have earned if he had planted barley instead of wheat
A)an explicit cost
B)an accounting cost
C)an implicit cost
D)forgone accounting profit

Question

Quizplus · Accepted Answer

This is an opportunity cost, specifically an implicit cost, because it represents the potential earnings from the next best alternative (planting barley instead of wheat) that the farmer gave up by choosing to plant wheat. Implicit costs are not actual out-of-pocket expenses, but rather lost opportunity costs.

What Is the Term for the Amount of Money That