Which of the Following Is an Example of an Implicit

question 333

Multiple Choice

Which of the following is an example of an implicit cost? (i)
The owner of a firm forgoing an opportunity to earn a large salary working for a Wall Street brokerage firm
(ii)
Interest paid on the firm's debt
(iii)
Rent paid by the firm to lease office space

• A)(ii) and (iii) only
• B)(i) and (iii) only
• C)(i) only
• D)(iii) only

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Definitions:

Job Descriptive Index

A validated psychological survey instrument used to measure an employee's job satisfaction in five dimensions: pay, promotions, coworkers, supervision, and the work itself.

Promotions

The advancement of an employee's rank or position in an organizational hierarchy system.

Psychological Withdrawal

An employee's disengagement and lack of psychological presence at work, often manifesting as daydreaming, socializing, or looking for other jobs during work hours.

Organizational Commitment

The degree to which an employee identifies with the organization and is willing to put forth effort on its behalf.