1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
sveticcg [70]
3 years ago
9

Suppose Natasha currently makes $50,000 per year working as a manager at a cable TV company. She then develops two possible entr

epreneurial business opportunities. In one, she will quit her job to start an organic soap company. In the other, she will try to develop an Internet-based competitor to the local cable company. For the soap-making opportunity, she anticipates annual revenue of $465,000 and costs for the necessary land, labor, and capital of $395,000 per year. For the Internet opportunity, she anticipates costs for land, labor, and capital of $3,250,000 per year as compared to revenues of $3,275,000 per year. What opportunity should she pursue?
Business
1 answer:
Vilka [71]3 years ago
4 0

Answer:

It will be better to pursue the soap business as it provide a 20,000 economic gain.

Explanation:

currently Natasha wages: $50,000

soap business:

sales revenue 465,000 - cost = 395,000 = 70,000 accounting profit

less 50,000 opportunity cost: 20,000 economic gain

Internet opportunity as it will compete with the local TV company shw currently works, most probably will be fired or quit the job.

3,275,000 revenues - 3,250,000 cost = 25,000 accounting profit

less 50,000 opportunity cost: (25,000) economic loss

It will be better to pursue the soap business as it provide a 20,000 economic gain.

You might be interested in
After identifying and performing the preliminary classification of an organization’s information assets, the analysis phase move
xxTIMURxx [149]

Answer:

threats

Explanation:

Based on the information provided can be said that the analysis phase moves on to an examination of the threats facing the organization. This is the process of focusing on the individuals or organizations that may cause problems for the organization in the future, in order to design a plan on how to tackle those situations.

5 0
2 years ago
Grace Owen formed a corporation with three of her friends for purposes of operating a catering company. Grace used her own check
andrezito [222]

Answer:

Grace is incorrect because of the veil and alter ego theory

Explanation:

In this scenario Grace formed a corporation along with her three friends. As a result of catering services offered guest became ill and sued Grace and the other owners for damages.

According to the alter egos theory personal liability can be invoked on the owners of a corporation or its limited liability members.

Alter ego theory is used to penetrate the corporate veil that protects shareholders. Personal liability can be assigned on the business owner as it is in this case against Grace and the other owners.

7 0
2 years ago
2. Now, find out what type of business it actually is. If you chose a small business, it is likely to be a sole proprietorship o
inessss [21]
Аоуздсьалкшмвжужсьмлмадщалаалаллвлвшашаклклкл :) шазлвовшуьыла лвждуыон вол о о лашащущвщудулшвлсшылылышыйьйвашшша
8 0
3 years ago
A canadian agent has an existing client who goes on vacation to Seattle, Washington. The agent wishes to contact the customer in
Rashid [163]

Answer:

The exception is due to vacation.

Explanation:

This is an example of a right answer, while, yes the individual must be registered in Canada, the exception is due to vacation.

7 0
3 years ago
The assumption that is necessary for a linear programming model to be appropriate and that ensures that the value of the objecti
Elan Coil [88]

Answer:

A. Additivity

Explanation:

Additivity simply means that the values of an objective function and total resources used can be found by adding all the contributions made by the objective functions and the decision variables of all resources used. That is, it assumes that the overall of an objective function is found by adding the contribution of each objective function to the overall. In additivity, interaction between variables doesnt exist.

5 0
3 years ago
Read 2 more answers
Other questions:
  • Items that have a useful life of more than one year and used in the business
    5·1 answer
  • Find a job posting you would be interested in applying for. Write a list of 10 questions you believe an interviewer might ask. W
    10·2 answers
  • Consider the following case: Andre is an amateur investor who holds a small portfolio consisting of only four stocks. The stock
    10·1 answer
  • Mao’s resulted in decreased industrial output and food shortages.
    9·2 answers
  • The prizes that can be won in a sweepstakes are listed below together with the chances of winning each one:$5200 (1 chance in 89
    10·1 answer
  • The elements of professionalism contains_ attributes.
    5·1 answer
  • On January 1, Year 1, Michael sold a property with a remaining useful life of 20 years to Wei Co. for $800,000. On the same date
    8·1 answer
  • As a result of a decrease in the demand for U.S. dollars, there has been depreciation in the value of the U.S. dollar relative t
    12·1 answer
  • The marketing manager of TelCo., Inc. has determined that a market exists for a telephone with a sales price of $15 per unit. Th
    10·1 answer
  • The new-product development process is:
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!