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NikAS [45]
3 years ago
5

Suppose that a firm produces 200,000 units a year and sells them all for $10 each. The explicit costs of production are $1,500,0

00 and the implicit costs of production are $300,000. The firm earns an accounting profit of __________ and an economic profit of __________.
Business
1 answer:
satela [25.4K]3 years ago
7 0

Answer:

Accounting profit will be $500000

Economic profit will be $200000

Explanation:

We have given number of units produces = 200000

Cost of one unit = $10

So total cost of production = 100000×$10 = $1000000

Explicit cost = $1500000

And implicit cost = $300000

We know that accounting profit = revenue - explicit cost = $1000000-$1500000 = $500000

And economic profit = revenue - implicit cost = $1000000-$300000 = $200000  

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LO 7.3Which is not a section of the cash budget?
Bad White [126]

Answer:

allowance for uncollectible accounts

Explanation:

The cash budget represents the cash inflow and cash outflow position with respect of cash receipts and cash payments i.e cash disbursement plus it also involves financing needs i.e how much amount is to be borrowed

But it does not involve the allowance for uncollectible accounts  as it is not shown in the cash budget because it is shown under the debtors side with the negative amount of the balance sheet

Like

Assets

Current Assets

Account receivable                                             XXXXX

Less: Allowance for uncollectible accounts       XXXXX  

Net account receivable                                      XXXXX

8 0
3 years ago
Art is a self-employed installer of home entertainment systems, and he drives his car frequently to installation locations. Art
kap26 [50]

Answer:

Explanation:

The expenses that Ryan can deduct for the business trips he had is calculated by summing up the expenses he had with regards to gasoline and the depreciation.

Cost of gasoline = (3,760 miles)($1,590/18,800 miles) = $318

Cost of depreciation = $4,800

Adding the costs will give us an answer of $5118.

Answer: $5,118

3 0
3 years ago
Outdoor Luggage Inc. makes high-end hard-sided luggage for sports equipment. Data concerning three of the company’s most popul
schepotkina [342]

Answer:

                                                       Ski             Golf           Fishing

                                                       Guard       Guard       Guard

selling price                                   $260         $330        $205

variable cost                                  $120          $180         $135

contribution margin                       $140          $150         $70

machine time                                 9 min.        12 min.      11 min.

lbs. of pellets                                  12              7                11

total machine time is the constraint in the production process

1a)

contribution margin per                 $933.33   $750         $381.82

machine hour

1b)

ski guard since its contribution margin per machine hour is much higher than the rest of the products

1c)

fishing guard since its contribution margin per machine hour is much lower than the rest of the products

2a)

                                                       Ski             Golf           Fishing

                                                       Guard       Guard       Guard

contribution margin per                 $11.67      $21.43       $6.36

lbs. of pellets

2b)

Golf guard since its contribution margin per lb. of pellets is much higher than the rest of the products

2c)

fishing guard since its contribution margin per lb. of pellets is much lower than the rest of the products

3)

Golf Guard ($150)

4 0
3 years ago
The 2014 balance sheet of steelo, inc., showed current assets of $4,630 and current liabilities of $2,190. the 2015 balance shee
Ostrovityanka [42]

Hello!

Working capital in 2014 is
4,630−2,190=2,440
Working capital in 2015 is
5,180−2,830=2,350

change in net working capital, or nwc
2,350−2,440=−90

Good luck!

8 0
3 years ago
) Service variability means that ________. A) the evaluation of services is subjective and changes from customer to customer B)
gavmur [86]

Answer: B

Explanation: Service Variability as I learned it is defined as how the service of quality changes depending on how the service is given to you. For example two different lawn mowing comapnies.

4 0
3 years ago
Read 2 more answers
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