A Publishing Company's Refusal to Publish the Autobiography of a Serial

question 129

Multiple Choice

A publishing company's refusal to publish the autobiography of a serial killer because the company does not believe the killer should profit as a result of the pain he has caused others exemplifies:

• A)grandstanding.
• B)concern for stakeholders.
• C)liberalism.
• D)moral idealism.

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Definitions:

Implicit Costs

The opportunity costs of using resources owned by the firm for its own operations, without direct payment but with foregone opportunities.

Explicit Costs

Direct, out-of-pocket payments for wages, rent, and materials, among others, involved in the production of goods or services.

Opportunity Costs

The cost of forgoing the next best alternative when making a decision or choice.

Implicit Costs

Indirect, non-out-of-pocket expenses which represent the opportunity costs of using resources owned by the firm for its operations.