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Implicit cost and Explicit cost?And give examples?
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Implicit cost- the cost of the "opportunity cost". If I can make 5% if I put my money into a savings account rather than using it to open up a new business, the interest on the money would be an implicit cost
Explicit cost- Giving something that cost money up. If you give up a plane ticket you bought so you can stay and work, the cost of the plane ticket is the explicit cost
Explicit Cost Examples
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Implicit cost and Explicit cost?And give examples?
Implicit - what you COULD do with the money you're about to spend.
Explicit - same as accounting costs.