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irina1246 [14]
3 years ago
5

Antonio lives in San Diego and runs a business that sells boats. In an average year, he receives $731,000 from selling boats. Of

this sales revenue, he must pay the manufacturer a wholesale cost of $431,000; he also pays wages and utility bills totaling $259,000. He owns his showroom; if he chooses to rent it out, he will receive $8,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Antonio does not operate this boat business, he can work as an accountant, receive an annual salary of $30,000 with no additional monetary costs, and rent out his showroom at the $8,000 per year rate. No other costs are incurred in running this boat business.-------------------------Implicit Cost Explicit CostThe rental income Antonio could receive if he chose to rent out his showroom..................?The wages and utility bills that Antonio pays ...................?.The salary Antonio could earn if he worked as an accountant ..........................?The wholesale cost for the boats that Antonio pays the manufacturer....................?Complete the following table by determining Antonio's accounting and economic profit of his boat business.Profit(Dollars)Accounting Profit ...................?Economic Profit ........................?

Business
1 answer:
Naya [18.7K]3 years ago
6 0

Answer

The answer and procedures of the exercise are attached in the following archives.

Explanation  

You will find the procedures, formulas or necessary explanations in the archive attached below. If you have any question ask and I will aclare your doubts kindly.  

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3 years ago
The cost of goods for Mandy Manufacturing Company flow through an assembly and a finishing department before being transferred t
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Answer:

Option (D) is correct.

Explanation:

Given that,

Beginning work in process = $4,000

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= $4,000 + $47,000 + $15,000 + $46,000 + $22,000

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Cost of goods transferred to the Finished Goods Inventory account:

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5 0
3 years ago
Costs that change directly with the level of production are referred to as ________ costs
Elodia [21]
The answer to this question is Variable cost.
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6 0
3 years ago
Donnie's Donuts incurs $450,000 per year in explicit costs and $200,000 in implicit costs. The bakery earns $800,000 in revenues
marshall27 [118]

Answer:

$150,000

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5 0
3 years ago
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