I. Briefly explain the following terms. 1) Cost of Production: 2) Explicit Cost: 3) Implicit Cost: 4) Real Cost: 5) Fixed Costs: 6) Variable Costs: 7) Nominal cost: 8) Opportunity cost 9) Private cost 10) External cost 11) Social Costs 12) Short Run Costs 13) Long Run Costs 14) Fixed cost 15) Variable cost 16) Revenue 17) III. Write the formula for the following costs Definition of terms

Definition of terms

Cost of production is the total cost of resources used to produce a good or service. This includes the costs of labor, materials, and capital. It does not include the cost of transport or any other associated costs. This is the amount of money it takes for a business to produce a given product or service (Sakhuja et al., 2022). Explicit costs are direct costs that are incurred in the production of a good or service. These costs are easily identifiable and are usually recorded in an organization’s financial records. Examples of explicit costs include wages and salaries, materials, rental fees, and other costs associated with the production of goods or services. Implicit costs are costs that are not directly incurred in the production of a good or service but are nonetheless necessary for its successful production. These costs are often more difficult to identify and measure than explicit costs. Examples of implicit costs include opportunity costs, the cost of foregone income, and the cost of lost time. Real costs are the actual costs associated with producing a good or service. They include both explicit and implicit costs, such as wages, materials, and opportunity costs (Islam et al., 2019). Real costs are important for organizations to consider when determining the true. Cont…