Question

State an example of explicit and implicit cost.​

Answer 1

Explanation:

Explicit costs are out-of-pocket costs for a firm—for example, payments for wages and salaries, rent, or materials. Implicit costs are the opportunity cost of resources already owned by the firm and used in business—for example, expanding a factory onto land already owned.

Answer 2

Answer:

Explicit costs are out-of-pocket costs for a firm—for example, payments for wages and salaries, rent, or materials. Implicit costs are the opportunity cost of resources already owned by the firm and used in business—for example, expanding a factory onto land already owned.