Answer:
d. $249,000
Explanation:
cost of goods available for sale
= $45,000 + $195,000 - $6,000 + $15,000
= $249000
Therefore, The cost of goods available for sale was $249000.
Answer:
B. minus$2,000.
Explanation:
The computation of the economic profit is shown below:
As we know that
Economic profit = Total revenue - Explicit costs - Implicit costs
= $35,000 - $30,000 - $7,000
= -$2,000
The implicit cost is come from
= $70,000 ×10%
= $7,000
We simply applied the above formula so that the economic profit could come
Well, insurance or taxes! :D
