Business, 14.11.2019 01:31 RNBWBlight2037

Economan has been infected by the free enterprise bug. he sets up a firm on extraterrestrial affairs. the rent of the building is $4,000, the cost of the two secretaries is $40,000, and the cost of electricity and gas comes to $5,000. there's a great demand for his information, and his total revenue amounts to $100,000. by working in the firm, though, economan forfeits the $50,000 he could earn by working for the friendly space agency and the $4,000 he could have earned as interest had he saved his funds instead of putting them in his business.

a) what is the profit o loss by an accountant's definitions?

b) what is profit or loss by an economist's definitions?

Answers: 3

Show answers

Another question on Business

Business, 21.06.2019 21:40

Torino company has 1,300 shares of $50 par value, 6.0% cumulative and nonparticipating preferred stock and 13,000 shares of $10 par value common stock outstanding. the company paid total cash dividends of $3,500 in its first year of operation. the cash dividend that must be paid to preferred stockholders in the second year before any dividend is paid to common stockholders is:

Answers: 2

Answer

Business, 22.06.2019 18:00

Biochemical corp. requires $600,000 in financing over the next three years. the firm can borrow the funds for three years at 10.80 percent interest per year. the ceo decides to do a forecast and predicts that if she utilizes short-term financing instead, she will pay 7.50 percent interest in the first year, 12.15 percent interest in the second year, and 8.25 percent interest in the third year. assume interest is paid in full at the end of each year. a)determine the total interest cost under each plan. a) long term fixed rate: b) short term fixed rate: b) which plan is less costly? a) long term fixed rate plan b) short term variable rate plan

Answers: 2

Answer

Business, 23.06.2019 02:40

Telecom co. enters into a two-year contract with a customer to provide wireless service (voice and data) for $40 per month. to induce customers, telecom co. provides a free phone. telecom co. normally sells the phone on a stand-alone basis for $200. telecom co. also charges the customer a one-time activation fee of $35.which of the following is true? a) there are two distinct performance obligations: the voice service and the data service b) the free phone constitutes as a marketing expense c) the activation fee is a separate performance obligationd) there are two distinct performance obligations: the wireless services and the phone

Answers: 2

Answer

Business, 23.06.2019 12:30

Which of the following is a tax incentive

Answers: 1

Answer

You know the right answer?

Economan has been infected by the free enterprise bug. he sets up a firm on extraterrestrial affairs...

Questions