Examlex
What is the area of finance called that addresses issues such as how reasoning errors affect investment decisions?
Implicit Costs
Costs that represent the opportunity cost of using resources that a business already owns, rather than explicit outlays of cash.
Total Revenue
The total amount of money received by a company from selling goods or services before any expenses are subtracted.
Explicit Costs
Direct, out-of-pocket payments for resources or services used in the production of goods or services.
Implicit Costs
Denotes the opportunity costs of utilizing resources owned by the firm for its operations, instead of allocating them elsewhere to earn a return.
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