One difference between implicit costs and explicit costs is that:

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Explicit costs are those that involve a monetary transaction, such as paying for rent or wages. These costs are easily identifiable and are included in the method accountants use to compute profits. On the other hand, implicit costs are opportunity costs that do not involve a direct monetary transaction, such as the forgone salary of an entrepreneur who starts their own business. These costs are not clearly identifiable and are not included in the method accountants use to compute profits. However, both implicit and explicit costs are considered in the calculation of economic profits.

One Difference Between Implicit Costs and Explicit Costs Is That