Jane makes 1000 items a day. Each day she spends 8 hours ...

[anjilletteb]

Jane makes 1000 items a day. Each day she spends 8 hours producing those items. If hired elsewhere she could have earned 250 an hour. The item sells for 15 each. Production occurs seven days a week. If the explicit costs total 150,000 per month, what is her accounting profit?
 a. 300,000
 b. 60,000
 c. 450,000
 d. 240,000

Question 2

Total costs equal
 a. Fixed costs
 b. Variable costs
 c. Sunk costs
 d. Fixed costs plus variable costs

[morganmarie791]

Answer to Question 1

a

Answer to Question 2

d