InterviewSolution
Saved Bookmarks
InterviewSolution
| 1. |
What is cost |
| Answer» Cost is the expense incurred by the producer on the production of the commodity.<br>Cost in economics includes actual expenditure on inputs and the imputed value of the inputs supplied by the owners.<br>It is an expenditure incurred by the producers on fixed as well variable factors as to produce inputs.<br>Economic cost is the combination of gains and losses of any goods that have a value attached to them by any one individual. Economic cost is used mainly by economists as means to compare the prudence of one course of action with that of another. | |