CBSE BOARD XII, asked by yb633328gmailcom, 11 months ago

Difference between Explicit cost and Implicit cost. ( class 12)

Answers

Answered by sachinarora2001
5
Explicit cost refers to the cost pays by the company on its usage of factors of production.

Implicit cost refers to that cost which a company pays on the resources belonging to the owners..

Explicit cost also called out of pocket expenses
Implicit cost also called opportunity cost


Explicit cost can easy to determined
Implicit cost is difficult to determine
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