The difference between the economic and accounting costs of a ...

[waynest]

The difference between the economic and accounting costs of a firm are
 
  A) the accountant's fees.
  B) the corporate taxes on profits .
  C) the opportunity costs of the factors of production that the firm owns.
  D) the sunk costs incurred by the firm.
  E) the explicit costs of the firm.

Question 2

Refer to Table 5.4. If outcomes 1 and 2 are equally likely at Job A, and if at Job B the 20 outcome occurs with probability .1, and the 50 outcome occurs with probability .9, then
 
  A) Job A is safer because the difference in the probabilities is lower.
  B) Job A is riskier only because the expected value is lower.
  C) Job A is riskier because the standard deviation is higher.
  D) Job B is riskier because the difference in the probabilities is higher.
  E) There is no definite way given this information to tell how risky the two jobs are.

[jxjsniuniu]

Answer to Question 1

C

Answer to Question 2

C

[waynest]

Gracias!

[ebonylittles]

Thanks for the timely response, appreciate it