Author Question: A business owner makes 50 items a day. He spends 8 hours in producing those items. If hired ... (Read 86 times)

SAVANNAHHOOPER23

  • Hero Member
  • *****
  • Posts: 542
A business owner makes 50 items a day. He spends 8 hours in producing those items. If hired elsewhere he could have earned 10 an hour. The item sells for 10 each. Production occurs seven days a week. If the explicit costs total 10,000 a month, the accounting profit for the month equals:
 a. 1,760
 b. 2,240
 c. 11,760
 d. 5,000

Question 2

Accountants and Economists differ in their calculations of profits in that;
 a. economists consider sunk costs
 b. accountants consider implicit costs only
 c. accountants consider explicit costs only
 d. all of the above



brbarasa

  • Sr. Member
  • ****
  • Posts: 308
Answer to Question 1

d

Answer to Question 2

c



Related Topics

Need homework help now?

Ask unlimited questions for free

Ask a Question
 

Did you know?

The toxic levels for lithium carbonate are close to the therapeutic levels. Signs of toxicity include fine hand tremor, polyuria, mild thirst, nausea, general discomfort, diarrhea, vomiting, drowsiness, muscular weakness, lack of coordination, ataxia, giddiness, tinnitus, and blurred vision.

Did you know?

For high blood pressure (hypertension), a new class of drug, called a vasopeptidase blocker (inhibitor), has been developed. It decreases blood pressure by simultaneously dilating the peripheral arteries and increasing the body's loss of salt.

Did you know?

Nearly all drugs pass into human breast milk. How often a drug is taken influences the amount of drug that will pass into the milk. Medications taken 30 to 60 minutes before breastfeeding are likely to be at peak blood levels when the baby is nursing.

Did you know?

Alzheimer's disease affects only about 10% of people older than 65 years of age. Most forms of decreased mental function and dementia are caused by disuse (letting the mind get lazy).

Did you know?

Medication errors are three times higher among children and infants than with adults.

For a complete list of videos, visit our video library