Question

What do you mean by explicit cost? Are the following included in it?

1) Payment of wages to employees of the firm.
2) Wages for entrepreneurs own labour.
3) Depreciation Cost.
4) Rent of entrepreneurs own building.
5) Payment of electricity bill.

Don't Spam❌​

Answer 1

Heyaa here u go with your answer

Explicit costs are out-of-pocket costs for a firm, for example, payments for wages and salaries, rent, or materials.

So u can see that all the points u mentioned above are covered in Explicit costs

So I hope u get what u were looking for

Hope it helps you

pls do Mark as the brainliest

Answer 2

That option 1) is correct...

1) Payment of wages to employees of the firm.

Reason :-. The wages paid to employees is an accounting direct cost that must be paid in order for production to take place. Thus it is an explicit cost.

• Hope it works ⚡⚡

☆