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Alisiya [41]
3 years ago
9

Use the following information to answer the next question. Harvey quit his job at State University where he earned $45,000 a yea

r. He figures his entrepreneurial talent or foregone entrepreneurial income to be $5,000 a year. To start the business, he cashed in $100,000 in bonds that earned 10% interest annually to buy a software company, Extreme Gaming. In the first year, the firm sold 11,000 units of software at $75 each. Of the $75, $55 goes for the costs of production, packaging, marketing, employee wages and benefits, and rent on a building. The economic profits of Harvey’s firm in the first year were:
a) $160,000.
b).$280,000.
c) $155,000.
d) $220,000.
Business
1 answer:
algol [13]3 years ago
7 0

Answer: Option(a) is correct.

Explanation:

Total Revenue = Units sold × price per unit sold

                        = 11,000 × $75

                        = $825,000

Explicit cost = Units sold × cost per unit

                    = 11,000 × $55

                    = $605,000

Implicit cost = Earning at state university + Entrepreneurial talent + cash bonds at 10% interest

                    = $45000 + $5,000 + ($100,000 × 10%)

                    = $60,000

Economic profits = Total Revenue - (Explicit cost + Implicit cost)

                            = $825,000 - ($605,000 + $60,000)

                            = $825,000 - $665,000

                            = $160,000

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Answer:

Assets = Liabilities + Stockholders’ Equity = -$6,500

Explanation:

Note: See the attached excel file for recording of the impact (increase or decrease) of April 2021 transactions on the accounting equation.

From the attached excel file, we can obtain the following:

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2 years ago
The law of supply:
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Answer:

The law of supply reflects the amount that producers will want to offer at each price in a series of prices.

Explanation:

The law of supply determines that the quantity offered of a good increases as its price increases, keeping the remaining variables constant. The quantity offered is directly proportional to the price.

Specifically, it determines the amount of a particular good or service that is offered by the producers taking into account its price. Usually the relationship between this quantity and the price variable will be direct or positive, unlike in the demand law.

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The assembly line at the ice cream production facility used to have 20 workers. It now has 10 employees and 10 robots to do the
IgorC [24]

There are different kinds of system.  The robots are an example of automation

<h3>What is Automation?</h3>

This is simply known as the making and application of technologies to create and deliver goods and services with little human hands.

The Examples of Automation are;

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Present and future value tables of $1 at 3% are presented below
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B. $228,122.

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hich two of the following is are examples of an employee behaving in a way that confirms the theories of elton mayo?
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