Answer:
Ebon's explicit costs are $140,000
Explanation:
Explicit costs are all those which is directly paid to operate the business like wages, material etc. On the other hand implicit cost is the opportunity cost to choose and alternative.
Economic profit is the net of Revenue, Implicit and explicit costs.
Economic profit = Revenue - Explicit cost - Implicit costs
As we know salary earning of the let job is opportunity cost.
$10,000 = $175,000 - Explicit cost - $25,000
$10,000 = $150,000 - Explicit cost
Explicit cost = $150,000 - $10,000 = $140,000
