Which of the following statements is true? Costs are always explicit, never implicit. Costs are always implicit, never explicit. George runs a stationery shop; he paid Frank $5,000 for the carpet he installed in the shop. The $5,000 for carpet is an implicit cost. An implicit cost is a cost that represents the value of resources used in production for which no actual monetary payment is made. а. b. с. d. е. None of the above
Which of the following statements is true? Costs are always explicit, never implicit. Costs are always implicit, never explicit. George runs a stationery shop; he paid Frank $5,000 for the carpet he installed in the shop. The $5,000 for carpet is an implicit cost. An implicit cost is a cost that represents the value of resources used in production for which no actual monetary payment is made. а. b. с. d. е. None of the above
Economics: Private and Public Choice (MindTap Course List)
16th Edition
ISBN:9781305506725
Author:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Publisher:James D. Gwartney, Richard L. Stroup, Russell S. Sobel, David A. Macpherson
Chapter21: Costs And The Supply Of Goods
Section: Chapter Questions
Problem 16CQ
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![Which of the following statements is true?
Costs are always explicit, never implicit.
Costs are always implicit, never explicit.
George runs a stationery shop; he paid Frank $5,000 for the carpet he installed in the
shop. The $5,000 for carpet is an implicit cost.
An implicit cost is a cost that represents the value of resources used in production for
which no actual monetary payment is made.
None of the above
а.
b.
с.
d.
е.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fab2cae91-b738-4378-9d2b-34dbb8327a9e%2Fd0852284-536a-4947-b59c-871f4f948bfb%2Fvjmyr0l_processed.png&w=3840&q=75)
Transcribed Image Text:Which of the following statements is true?
Costs are always explicit, never implicit.
Costs are always implicit, never explicit.
George runs a stationery shop; he paid Frank $5,000 for the carpet he installed in the
shop. The $5,000 for carpet is an implicit cost.
An implicit cost is a cost that represents the value of resources used in production for
which no actual monetary payment is made.
None of the above
а.
b.
с.
d.
е.
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