Implicit Costs Are Costs That

question 134

Multiple Choice

Implicit costs are costs that:

• A)require a firm to spend money.
• B)represent forgone opportunities.
• C)do not depend on the quantity of output produced.
• D)depend on the quantity of output produced.

---

Definitions:

Transaction

An exchange or transfer of goods, services, or funds between two or more parties, often involving a contractual agreement.

Gains And Loses

Refers to the increases or decreases in economic benefit, typically associated with investments or transactions.

Informed Exchange

A transaction where all parties involved have access to essential information relevant to the trade or deal.

Voluntary Exchange

A transaction where two parties freely agree to trade goods, services, or resources for mutual benefit.