Answer:
B
Explanation:
Explicit cost is the actual cost incurred in running a business. They include wages, cost of raw materials
Implicit cost is also known as opportunity cost.
Opportunity cost or implicit is the cost of the option forgone when one alternative is chosen over other alternatives.
The normal rate of return is when cost is equal to revenue. So, profit is zero.
Economic profit = Revenue -explicit cost - implicit cost
0 = (200 x $2) - $350 - implicit cost
implicit cost = $50
