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White raven [17]
3 years ago
14

Sid has decided to leave his $70,000-a-year landscape design job and open a new kayak business. His insurance cost is expected t

o be $2,000 per year. The kayaks he owns are valued at $25,000, but he experiences 10% annual depreciation on them. He will also use building space that he owns, but, to do so, he must give up the $10,000 per year in rent he used to receive for the space. Revenue is expected to equal $100,000 per year. Sid's economic profit is: $2,000 $15,500 $84,500 $82,500
Business
1 answer:
madreJ [45]3 years ago
7 0

Answer:

The correct answer is $15,500.

Explanation:

According to the scenario, the computation of the given data are as follows:

Revenue = $100,000

Insurance cost = $2,000

Design job leave = $70,000

Rent = $10,000

Annual depreciation = 10% × $25,000 = $2,500

So, we can calculate the economic profit by using following formula:

Economic Profit = Total Revenue - (Explicit cost + Implicit costs)

By putting the value, we get

= $100,000-($70,000 + $2,000 + $10,000 + $2,500)

= $15,500

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Answer:

illusion of control.

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3 years ago
If the number of unemployed workers is 19 million, the number in the working-age population is 500 million, and the unemployment
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Answer:

labor force participation rate= 96.2%

Explanation:

Giving the following information:

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<u>First, we need to calculate the employed people:</u>

<u></u>

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<u>Now, to calculate the labor force participation rate, we need to use the following formula:</u>

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erma4kov [3.2K]
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