Answer:
accounting profit from her first year = $184000
so correct option is D. $184,000
Explanation:
given data
earning = $223,000 per year
generated revenues = $347,000
explicit costs = $163,000
to find out
accounting profit from her first year
solution
we know that accounting profit is the difference between explicit cost and explicit revenue so
we get accounting profit from her first year is as
accounting profit from her first year = generated revenues - explicit costs .................1
put here value we get
accounting profit from her first year = $347000 - $163000
accounting profit from her first year = $184000
so correct option is D. $184,000
