Which of the following are implicit costs for a typical firm?
A) opportunity costs of capital owned and used by the firm
B) the cost of labour hired by the firm
C) utilities cost
D) a business licensing fee

Question

Quizplus · Accepted Answer

Implicit costs are the opportunity costs of using resources owned by the firm in its own production processes rather than renting or selling them to others. The opportunity cost of using capital owned by the firm is an example of implicit costs. B, C, and D are explicit costs, which are actual out-of-pocket expenses incurred by the firm.

Which of the Following Are Implicit Costs for a Typical