Which of the following is an example of an "implicit cost"?
A) Interest that could have been earned on retained earnings used by the firm to finance expansion.
B) The payment of rent by the firm for the building in which it is housed.
C) The interest payment made by the firm for funds borrowed from a bank.
D) The payment of wages by the firm.
A
Economics
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In a monopsonistic market, a firm's demand curve for labor is equal to its marginal revenue product and has a nonzero slope
Indicate whether the statement is true or false
Economics
Figure 10.1 shows a monopolist's demand curve. If the monopolist were to maximize its total revenue, it would produce ________ units of output and charge a price of ________.
A. 3; $5 B. 4; $4 C. 5; $3 D. 6; $2
Economics