Economists Include Both Explicit and Implicit Costs While Accountants Include

question 182

True/False

Economists include both explicit and implicit costs while accountants include only implicit costs.
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Definitions:

Indirect Business Taxes

Taxes imposed on goods and services that are passed on to the buyer, such as sales taxes or value-added taxes.

Corporate Income Taxes

Taxes imposed on the net income (profit) of corporations, determined by the legal jurisdiction of the business operations.

Depreciation

Depreciation refers to the reduction in the value of an asset over time due to wear and tear, obsolescence, or age.

Capital Equipment

Long-lasting goods that are utilized in the production of other goods or services, such as machinery, buildings, and vehicles.