Match List I with List II

List I

Cost Concepts 

List II

Description

(A)

Explicit cost 

(I)

Costs that do not require any outlay of money by the firm 

(B)

Implicit cost 

(II)

A cost that has already been committed and cannot be recovered

(C)

Total cost 

(III)

Costs that require an outlay of money by the firm 

(D)

Sunk cost 

(IV)

Market value of all inputs that a firm uses in production 

Choose the correct answer from the options given below: 

1
A - III, B - IV, C - I, D - II
2
A - II, B - IV, C - III, D - I
3
A - III, B - I, C - IV, D - II
4
A - III, B - IV, C - II, D - I

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