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Mamont248 [21]
3 years ago
9

Donnie's Donuts incurs $450,000 per year in explicit costs and $200,000 in implicit costs. The bakery earns $800,000 in revenues

and has $2 million in net worth. Based on this information, what is the accounting profit for Donnie's Donuts?
Business
1 answer:
marshall27 [118]3 years ago
5 0

Answer:

$150,000

Explanation:

Given that

Total revenue = $800,000

Explicit cost = $450,000

Implicit cost = $200,000

The computation of the accounting profit is as shown below :-

= Total revenue - Total cost

= $800,000 - $650,000

= $150,000

Total cost = Explicit cost -Implicit cost

= $450,000 + $200,000

= $650,000

Therefore for calculating the accounting profit we simply deduct the total cost from total revenue.

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Answer:

The correct answer is B

Explanation:

The amount of cash to be collected or received  in the month of July is computed as:

Amount of cash received in the July month = (July Sales × 10%) + (June Sales × 90% × 75%) + (May Sales × 90% × 17%) + (April Sales × 90% × 6%)

where

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Putting the values:

= ($58,000 × 10%) + ($56,000 × 90% × 75%) + ($50,000 × 90% × 17%) + ($46,000 × 90% × 6%)

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Answer:




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2 years ago
What describes the nature of cause and effect in the context of the business cycle?
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XYZ stock is trading at $25.75 and XYZ Jul 25 calls are trading at a premium of $2. What is the time value of the Jul 25 calls
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Answer:

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