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MAVERICK [17]
3 years ago
13

Explicit and Implicit Costs) Amos McCoy is currently raising corn on his 100-acre farm and earning an accounting profit of $100

per acre. However, if he raised soybeans, he could earn $200 per acre. Is he currently earning an economic profit? Why or why not?
Business
1 answer:
loris [4]3 years ago
3 0

Answer:

No

Amos McCoy is earning an economic loss. His implicit cost ($200) is greater than his accounting profit ($100)

Explanation:

Economic profit it accounting profit less implicit cost.

Accounting profit is total revenue less total cost or explicit cost.

Implicit costs are opportunity costs.

Economic profit = $100 - $200 = $-100

Amos McCoy Is making an economic loss of $-100

I hope my answer helps you.

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On January 1, 2005, Jambon purchased equipment for use in developing a new product. Jambon uses the straight-line depreciation m
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Answer:

A. The total cost of the equipment.

Explanation:

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Because the equipment is laying idle, it is not depreciating. Therefore, the expense that Jambon is not incurring, is the depreciation expense associated with this equipment. This depreciation expense will only be seen in five years, when the product it was bought for is finally completed.

8 0
3 years ago
Which of the following is an example of how advanced technology has helped the modern economy ?
OlgaM077 [116]
Its between a an B  but i think its A
7 0
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dalvyx [7]
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6 0
3 years ago
Where does the 32 come from in cash received for common stock issued
worty [1.4K]

A public company can issue common stock to the shareholders of acquisition targets, which they can then sell for cash. This approach is also possible for private companies, but the recipients of those shares will have a much more difficult time selling their shares.

Multiply the number of shares issued by the price per share. Doing this calculation gives you the amount of cash raised by the sale of the stock. For example, if the company issues 100 shares at $10 per share, the result is $1,000 of additional capital raised from stock issuances.
4 0
2 years ago
Jonas is a 60% owner of Ard, an S corporation. At the beginning of the year, his stock basis is zero. Jonas's basis in a $33,200
olya-2409 [2.1K]

Answer:

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Explanation:

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6 0
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