0
Could depreciation charges on company owned equipment constitute an implicit cost to a Manufacturing Company?
Yes, depreciation is considered a loss of money that was used to purchase an item, in this case equipment. The money being lost is an opportunity cost that could have been used to purchase something else, or the depreciating item itself (i.e. a new car that depreciates greatly when you drive it off the lot) can be considered an opportunity cost for buying something with less depriciation and a more efficient use of money (i.e. a used car)
What else can I help you with?
The sum of the explicit and implicit costs incurred in the production process is called?
Fixed
Difference between imputed and implicit cost?
According to the "Bible" for accounting terminology, Barron's Dictionary of Accounting Terms, 5th Edition, they are the same. In fact, when you look up implicit cost, it refers you to imputed cost. This is the definition of imputed cost: "A cost that is implied but not reflected in the financial reports of the firm: also called implicit cost. Imputed costs consist of opportunity costs of time and capital that the manage has invested in producing the given quantity of production and the opportunity costs of making a particular choice among the alternatives being considered."
The accounting profit figure is simply a measure of the true profit of an organisation?
The accounting profit figure represents the difference between total revenues and explicit costs, such as wages, rent, and materials. However, it does not account for implicit costs, like opportunity costs or the value of foregone alternatives, which can provide a more comprehensive view of an organization's true profitability. Therefore, while accounting profit is a useful measure, it may not fully reflect the overall financial health or economic viability of a business. To assess true profit, one must also consider these implicit costs.
What is the formula for accounting profits?
The formula for accounting profits is: Accounting Profit = Total Revenues - Total Explicit Costs Total revenues include all income generated from sales, while total explicit costs encompass all direct expenses related to the business, such as wages, rent, and materials. This calculation does not account for implicit costs, which are opportunity costs associated with the resources used.
Are taxes an explicit cost?
Yes, taxes are considered an explicit cost because they involve direct monetary payments that a business or individual must make to government entities. These costs are clearly defined and documented, impacting financial statements and cash flow. Unlike implicit costs, which represent opportunity costs and are not directly recorded, explicit costs like taxes are tangible expenses that must be accounted for in budgeting and financial planning.
Are depreciation charges implicit cost?
yes, depreciation is an implicit cost. but this implicit cost is added to total costs in calculating accounting profits.
What is an implicit argument?
There may be a meaning of this expression that is specialized to some area of literature, but used more generally, an implicit argument would be an argument or position or opinion that is put forth without stating it directly. For example, a disturbing story about a family devastated by a war might constitute an implicit argument that war is bad.
Is the information that Blake is tired explicit or implicit?
implicit
What is the ISBN of Implicit Meanings?
The ISBN of Implicit Meanings is 0415291089.
When was Implicit Meanings created?
Implicit Meanings was created in 1975.
Use the word implicit in a sentence?
I would like to think that ethial behavior is implicit ,but find that most children must be clearly instructed in the rules of proper behavior.
What is the difference between explicit and implicit?
explicit is clearly stated and implicit is not clearly stated
What are the Implicit object in JSP?
The implicit objects in a JSP page are:requestresponsepageContextsessionapplicationoutconfigpage
What is the opposite of implicit?
The opposite of implicit (implied) is explicit (directly expressed).
What is implicit stack?
A stack created by the user or a programmer is an implicit stack
How many pages does Implicit Meanings have?
Implicit Meanings has 325 pages.
Sentence using the word implicit?
the idea that the sun is hot is an implicit assumption
