Question

Which of the following statements is true? Group of answer choices An explicit cost is an actual cost; an implicit cost is a theoretical cost. An explicit cost is more important, dollar for dollar, than an implicit cost. Explicit costs are accounting costs, not economic costs; implicit costs are economic costs, not accounting costs. Economic costs include both explicit costs and implicit costs.

Answer 1

Answer:

Economic costs include both explicit costs and implicit costs.

Explanation:

• In economics, costs can be in the form of explicit and implicit as implicit costs are opportunity costs and are opportunities for engaging in business. While the explicit costs are accounting costs which are involved in the production of raw matter, wages etc.