This is a territorial restriction.
It even says in the text - territorial restriction refers to when a certain company forbids another company to sell its products in a certain location, because it will interfere with the first company's profits. The same thing happened here, because they don't want any competition on the market.
Answer:
C. 23,000
Explanation:
Inventory currently as the warehouse $20,000: less damaged stocks $3000.00
= $20,000.00-$3,000= $ 17,000.00
Add inventory not in the warehouse: i.e., Consignee and transits goods
=$2000 + $ 4000= $6000
Total year end inventory = $17000+$ 6000
=$23,000.00
Answer and Explanation:
The answer is attached below
Answer:
Jane's economic profit is $5,000.
Explanation:
Jane decides to open a business of her own and earns an accounting profit of $50,000 in the first year.
She turned down three job offers with salaries of $30,000, $40,000, and $45,000 to start her business.
Here, the opportunity cost of doing business is $45,000 as the opportunity cost is the cost of giving up the second-best alternative.
The accounting profit does not consider implicit or opportunity cost. But in the calculation of economic profits, the implicit cost is considered.
Economic profits
= Accounting profit - Implicit cost
= $50,000 - $45,000
= $5,000