Q.Money cost is also known as ______ cost.

Money cost is also called explicit cost — option (a).

Cost concepts in the syllabus distinguish:

• Explicit cost (money cost) — actual money payments a firm makes to outsiders for inputs it does not own: wages, rent, interest, cost of raw materials, fuel, etc. These are recorded in the accounts.
• Implicit cost — the imputed value of the firm's own resources used in production (e.g. the owner's own labour or capital) for which no money payment is made.
• Real cost — the effort and sacrifice (pain, discomfort) involved in production; a subjective concept. …