Which of the Following Is an Explicit Cost of Production

question 96

Multiple Choice

Which of the following is an explicit cost of production?

• A) wages paid to workers
• B) the electric bill
• C) purchases of raw material
• D) Only answers A and B are explicit costs because the purchases of raw material is only an opportunity cost.
• E) Answers A, B, and C are all correct.

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Definitions:

Race

A social construct used to categorize humans based on physical characteristics, such as skin color, ancestry, and genetic traits.

Class

Class is a system of categorizing people based on their economic position or social status, often determined by occupation, income, and education.

Gender

The range of characteristics pertaining to, and differentiating between, masculinity and femininity, including societal roles and identity.

Max Weber

A German sociologist, philosopher, and political economist who made significant contributions to the development of sociology and the study of society, economy, and religion.