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astraxan [27]
3 years ago
6

Linda sells 100 bottles of homemade ketchup for $10 each. The cost of the ingredients, the bottles, and the labels was $700. In

addition, it took her 20 hours to make the ketchup and to do so she took time off from a job that paid her $20 per hour. Linda's accounting profit is _____________ while her economic profit is ______________.a. $700;$400b. $300;$100c. $300 negative $100d. $1000 negative $1100
Business
1 answer:
Leto [7]3 years ago
5 0

Answer: Option C : $300; Negative $100

Linda's accounting profit = $300

Economic Profit= -$100

Explanation:

Total money generated = cost price x number of units = $100 x 10 = $1000

Profit = Total revenue generated - Cost of production = $1000 - $700 = $300

Linda's accounting profit = $300

Economic Profit = $300 - ($20 x 20hours)

Economic Profit= $300 - $400 = -$100

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The better-off test for evaluating whether a particular diversification move is likely to generate added value for shareholders
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Answer: Yes I do.

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3 0
4 years ago
Read 2 more answers
Now, suppose the fish cannery has the property rights to the lake, including the right to pollute it. In this case, assuming the
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The fish cannery will use the recycling method, regardless of who has the property rights: TRUE

<h3>What is recycling?</h3>
  • Recycling is the process of gathering and converting resources into new goods that would otherwise be thrown away as waste.
  • Both the environment and your community may benefit from recycling.
<h3>Given situation:</h3>

"Suppose the fish cannery has the property rights to the lake, including the right to pollute it.

In this case, assuming the two firms can bargain at no cost, the fish cannery will use the recycling method, and the resort will pay the fish cannery between $300 and $800 per week.

The resort will make the most economic profit when it has property rights to a clean lake."

Therefore, the following statement "the fish cannery will use the recycling method, regardless of who has the property rights is TRUE.

Know more about economic profits here:

brainly.com/question/24477585

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