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Author Question: Scott used 4,000,000 from his savings account that paid an annual interest of 5 to purchase a ... (Read 95 times)

Mr3Hunna

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on: Jul 1, 2018
Scott used 4,000,000 from his savings account that paid an annual interest of 5 to purchase a hardware store. After one year, Scott sold the business for 4,100,000 . His economic profits is:
 a. 300,000
 b. 100,000
 c. -100,000
 d. -200,000

Question 2

Scott used 4,000,000 from his savings account that paid an annual interest of 5 and a 60,000 loan at an annual interest rate of 5 to purchase a hardware store. After one year, Scott sold the business for 4,100,000 . His economic profits is:
 a. 300,000
 b. 100,000
 c. 97000
 d. None. He runs an economic loss of 103,000


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31809pancho

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Reply #1 on: Jul 1, 2018
Answer to Question 1

c

Answer to Question 2

d


Mr3Hunna

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Reply 2 on: Jul 1, 2018
Great answer, keep it coming :)

Sarahjh

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Reply 3 on: Yesterday
:D TYSM

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