The correct answer is: A. Out of pocket cost.
Out of pocket cost is the cost that involves payment to outsiders. It is the actual amount of money that is spent on something. For example, if you buy a new car, the out of pocket cost would be the price of the car.
Imputed cost is the cost of using resources that are owned by the business. It is the estimated amount of money that would have to be paid to rent or purchase the resources. For example, if a business owns its own building, the imputed cost of the building would be the amount of rent that would have to be paid if the building were rented.
Notional cost is a hypothetical cost that is used for accounting purposes. It is not an actual cost that has been incurred. For example, a notional cost might be used to account for the depreciation of an asset.
I hope this helps!