Which of the following statements is false?
A)Money must change hands before a cost can be incurred.
B)No monetary payment takes place when an implicit cost is incurred.
C)Costs may be either explicit costs or implicit costs.
D)Cost implies that a sacrifice has been made.

Question

Quizplus · Accepted Answer

A is false because a cost can be incurred without an immediate exchange of money. Implicit costs, for example, represent the opportunity cost of using resources for a particular purpose without a direct monetary payment, indicating that costs can accrue without money changing hands immediately.

Which of the Following Statements Is False