Which of the Following Would Be an Example of an Implicit

question 540

Multiple Choice

Which of the following would be an example of an implicit cost?
(i) forgone investment opportunities
(ii) wages of workers
(iii) raw materials costs

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

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Definitions:

Benefits

Nonfinancial forms of compensation provided to employees, such as pension plans, health insurance, paid vacation and holidays, and the like.

Customer Satisfaction

A measure of how products and services supplied by a company meet or surpass customer expectations, often considered a key indicator of consumer purchase intentions and loyalty.

Marketing Concept

The philosophy that firms should analyze the needs of their customers and then make decisions to satisfy those needs, better than the competition.