Which of the Following Is an Implicit Cost in Jim's

question 74

Multiple Choice

Which of the following is an implicit cost in Jim's business venture?
i.the salary Jim could have earned at another job
ii.the interest Jim must pay on the loan he incurred to help open his business
iii.the interest Jim lost when he used his savings to help open his business

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

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Definitions:

Privately Owned Land

Land that is owned by individuals or entities, not by the government or public sector.

Community Purposes

Refers to the aims, goals, or objectives that benefit the general public or communal groups within society.

Social Justice

The concept of fair and equitable rights and opportunities within society, aiming to address systemic inequalities.

Profit Maximization

The process or strategy focused on increasing the net profit of a business by either reducing costs, increasing revenue, or both.