________ cost is defined as a cost of production that does not entail a direct money payment.
A) An explicit
B) An implicit
C) A total
D) A fixed
E) A marginal

Question

Quizplus · Accepted Answer

An implicit cost is a cost of production that does not entail a direct money payment. Examples of implicit costs include the opportunity cost of using owned resources (such as a business owner using their own time and skills to run their business rather than working for someone else and earning a salary), the forgone income from not using owned assets (such as a business owner not renting out a property they own and instead using it in their business), and the cost of using borrowed resources (such as the interest and fees paid on a loan).

________ Cost Is Defined as a Cost of Production That