What do wages paid to factory workers,interest paid on a bank loan,forgone interest,and the purchase of component parts have in common?

A) None are either implicit or explicit costs.
B) All are opportunity costs.
C) All are implicit costs.
D) All are explicit costs.

Opportunity Costs

Opportunity costs represent the benefits a person or business misses out on when choosing one alternative over another.

Implicit Costs

The opportunity costs of using resources that a firm already owns, representing the income the firm foregoes by using those resources internally rather than renting or selling them.

Explicit Costs

Explicit costs are direct, out-of-pocket payments for resources or services needed for production, such as wages, rent, and materials; they're easily quantifiable and recorded.