An example of an implicit cost is:
A. the wages paid to workers.
B. the interest on business loans.
C. the imputed rent on a store owned by the firm.
D. the materials used to produce the product.
Answer: C
You might also like to view...
The table above gives the cost of producing T-shirts. When 5 T-shirts are produced, the average fixed cost is ________ and the average variable cost is ________
A) $4; $10 B) $10; $6 C) $5; $3 D) $4; $6
An increase in supply will cause equilibrium price to __________ and equilibrium quantity to __________
a. increase; increase b. increase; decrease c. decrease; increase d. decrease; decrease e. remain constant; increase
Which of the following terms implies the greatest degree of confidence in an economic generalization?
A. Hypothesis. B. Comparison. C. Principle. D. Anomaly.
When increased demand raises the price of the product, the
A) marginal revenue product will also increase. B) marginal revenue product will fall. C) marginal revenue product will remain unchanged. D) sales will fall.