Asked by hannah mazzeo on Jul 05, 2024
Verified
An example of an explicit cost would be the wages that a business owner pays her employees.
Explicit Cost
Direct, out-of-pocket payments for the purchase of inputs or resources for business operations.
- Realize the importance of factoring in both tangible and intangible costs in the economics of business operations.
Verified Answer
DT
Dylan ThomasJul 10, 2024
Final Answer :
True
Explanation :
Explicit costs are direct payments made to others in the course of running a business, such as wages paid to employees, which are easily quantifiable and directly affect the financial statements of a business.
Learning Objectives
- Realize the importance of factoring in both tangible and intangible costs in the economics of business operations.
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