Which of the following are implicit costs for a typical firm?
A)opportunity costs of capital owned and used by the firm
B)the cost of labor hired by the firm
C)utilities cost
D)a business licensing fee

Question

Quizplus · Accepted Answer

Implicit costs are opportunity costs, such as the foregone return on capital that is owned and used by the firm.

Answer: B 
 The cost of labor hired by the firm is typically an explicit cost, not an implicit cost.

Answer: C 
 Utilities costs are typically explicit costs, not implicit costs.

Answer: D 
 A business licensing fee is an explicit cost, not an implicit cost.

Which of the Following Are Implicit Costs for a Typical