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What is the difference between an implicit cost and an explicit cost?

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Question ajoutée par Rana Alnajjar , Web developer , Lebcards
Date de publication: 2016/12/04
Mircea David
par Mircea David , Pricing and Volumes Manager , OMV Petrom SA

An implicit cost is an indirect cost, which we cannot control (or accrue), while the explicit cost can be followed and controlled. For example, for a car used in transport (as a taxi, let's say), an implicit cost will be the lube consumption or the usage of the parts, while a direct cost will be the fuel consumption.

Ahmed mohsen
par Ahmed mohsen , Senior Accountant , Main Poly Clinic

An implicit cost is a cost that has occurred but it is not initially shown or reported as a separate cost. On the other hand, an explicit cost is one that has occurred and is clearly reported as a separate cost. 

Ahmed Hejazi
par Ahmed Hejazi , Projects Manager , Jadat Itqan Consulting - JIC

An example of implicit cost is: the cost of permits / custom clearance fees of certain procured materials. The cost of procuring plus the smaller costs, fees, permits are usually implicit within the bidding offer. 

 

Explicit cost is the clearly-stated cost for a certain service, or number of units price,  within bill of quantities.   

حمادة فوزي جمعة عشماوي
par حمادة فوزي جمعة عشماوي , مراجع حسابات الشركة , مؤسسة عاج العربية للمقاولات والصيانة

Explicit cost is the cost of Nconha belong to a certain item or cost center itself

The implicit cost is a assigned to spend or pay, among other costs to achieve item

manseer muhammed ali
par manseer muhammed ali , Accountant General , Royal Lighting L.L.C & Royal Furnishing LLC

Rent, salary and other operating expenses are considered explicit costs and are recorded within a company's financial statements. The main difference between the two types of costs is that implicit costs are opportunity costs, while explicit costs are expenses paid with a company's own tangible assets.

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