Answer:
B) The value of the ingredients that go into the home-cooked meal and the value of a five-dollar dinner at Burger Joint .
Explanation:
Opportunity costs can be defined as the cost for choosing one alternative investment or action over another.
If you choose to use the five dollar gift card, you are going to eat for free, although you might not enjoy that meal as much as your delicious home made dinner.
But if you choose to eat a delicious meal at home, you are going to lose the five dollars of the give card and will have to spend a certain amount of money in making the dinner. Those same ingredients could be used to prepare dinner tomorrow. That is your opportunity cost of eating at home.
Answer:
The value of a currency depends on factors that affect the economy such as imports and exports, inflation, employment, interest rates, growth rate, trade deficit, performance of equity markets, foreign exchange reserves, macroeconomic policies, foreign investment inflows, banking capital, commodity prices
Answer:Self employment is working for yourself. Wage employment is working for someone else.
Explanation:
Self employment is employment where you are your own boss and you do not have to run issues and concerns through another person. The money that you make is your own.
Wage employment is when you earn your money through someone elses business and you are paid either salary or by the hour (wages). You are not allowed to make decisions for the business, just take orders and fulfill them.
Answer:
Old ROI = 25.5%
New ROI = 28.9%
Explanation:
Current ROI = Net operating Income/Average Operating Assets
= ($ 25,500 /$ 100,000) *100%
= 25.5%
Assume manager of the club reduce expenses by $3,400 and variables remained unchanged.
New Net Operating Income = $25,500 + $3,400
= $28,900
Hence, New ROI = ($28,900/100,000) *100%
=28.9%
Another scenario that illustrates the concept of opportunity costs is when Gilbert can be employed as an accountant at an annual salary of $60,000 or he chooses to start his own business.
The store owned by Gilbert could have been rented out at an annual lease of $15,000. If Gilbert's store generates annual revenue of $200,000 with a cost of goods worth $100,000 and selling and administrative expenses that cost him $25,000 annually.
If Gilbert chooses to open the store, his economic gain from running the business will be <u>$20,000</u> ($200,000 - $80,000 - $25,000 - $15,000 - $60,000).
Whereas, if he chooses employment as an accountant, his economic profit will be <u>$75,000</u> ($60,000 + $15,000).
Thus, based on the concept of opportunity costs, which gives rise to economic profit, Gilbert will be advised to take up employment instead of starting his own business.
Learn more about economic profit and opportunity costs at brainly.com/question/17204577
