Business, 01.07.2020 16:01 sonthatshannah
Madeline quits her job, at which she was earning $20,000 per year. She then takes $50,000 out of savings, on which she was earning 10% interest, and uses it to buy supplies for her business. She also pays $10,000 in rent on the building and $15,000 in additional labor costs. In her first year of operations, Madeline receives $150,000 in revenue from sales.
Find:
A. Madeline's accounting cost is:.
B. Madeline's economic cost is:.
C. Madeline's accounting profit is:.
D. Madeline's economic profit is:.
Answers: 3
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Madeline quits her job, at which she was earning $20,000 per year. She then takes $50,000 out of sav...
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