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katrin2010 [14]
3 years ago
6

Suppose that a business incurred implicit costs of $500,000 and explicit costs of $5 million in a specific year. If the firm sol

d 100,000 units of its output at $50 per unit, its accounting:a. profits were $100,000 and its economic profits were zero. b. losses were $500,000 and its economic losses were zero. c. profits were $500,000 and its economic profits were $1 million. d. profits were zero and its economic losses were $500,000.
Business
1 answer:
aliina [53]3 years ago
5 0

Answer:

d. profits were zero and its economic losses were $500,000.

Explanation:

Accounting profit = Revenue - explicit cost

Revenue = price × quantity sold

$50 × 100,000 = $5,000,000

Accounting profit = $5,000,000 - $5,000,000 = $0

Economic profit = Accounting profit - Explicit cost

Explicit cost is the opportunity cost of this production activity.

Economic profit = $0 - $500,000 = $-500,000

This is a loss

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san4es73 [151]

Answer:

B. homogenous products pass through a series of processes and receive similar amounts of materials, labor, and overhead

Explanation:

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3 years ago
Read 2 more answers
Mill Co.’s allowance for credit losses was $100,000 at the end of Year 2 and $90,000 at the end of Year 1. For the year ended De
MatroZZZ [7]

Answer:

The amount worth $6,000 will be debited to the account in Year 2

Explanation:

When the uncollectible accounts are written off, then the debit is created to the allowance and the credit to the accounts receivable. The starting balance in the allowance account is $90,000 and the ending balance is $100,000 and the expense of bad debt is $16,000

The write off is computed as:

Write off = Beginning balance + Bad debt expense - Ending balance

= $90,000 + $16,000 - $100,000

= $106,000 - $100,000

= $6,000

Therefore, the amount of $6,000 is to be write off in Year 2

7 0
3 years ago
Brian, an industrial equipment sales rep, purchases a quick snack to eat on the way to work. He buys lunch while on the road vis
solniwko [45]

Answer:  Option A

 

Explanation: A convenience store might be part of a gas / petrol station, allowing consumers to easily buy goods and services when fueling their vehicles. It may be situated along a busy highway, in a metropolitan area, alongside a train or train station, or at another regional hub.

Generally convenience stores charge significantly higher prices than traditional grocery stores or supermarkets, as these wholesalers order limited stock amounts at higher per-unit prices. Convenience stores, however, compensate for this deficit by providing longer open hours, more locations and shorter cashier lines.

5 0
3 years ago
The steam requirements of a manufacturing facility are being met by a boiler whose rated heat input is 5.5 × 106 Btu/h. The comb
e-lub [12.9K]

Solution:

Given Information,

Heat input is ( Q_{in} ) = 5.5 × 10^{6} Btu/h

Combustion efficiency of the boiler (n_{furnance}) = 0.7

Combustion efficiency after turn up (n_{furnance,now}) = 0.8

Operation Hour (t) = 5200h

Unit cost (c) = \frac{23 dollar}{10^{6}Btu }

Calculate heat output from the boiler  Q_{out} = Q_{in} x n_{furnance}

                                                                      = 5.5 x 10^{6} x 0.7

                                                                      = 3.85 x 10^{6} Btu/h

Calculate the heat input to the boiler after the tune-up

(Q_{in} ){new} = Q_{out} / (n_{furnance} ){new}

               = 3.85 x 10^{6} / 0.8

               = 4.8125  x 10^{6} Btu/h

Calculate the saved energy after the tune-up

(Q_{in} ){saved} = Q_{in} - (Q_{in} ){new}

                 = 5.5 x 10^{6} - 4.8125  x 10^{6} Btu/h

                 = 0.6875  x 10^{6} Btu/h

Calculate the annual energy saving ( E_{Saving} )

E_{Saving} = (Q_{in} ){saved} x t

           = ( 0.6875  x 10^{6} Btu/h ) ( 5200 hr/yr)

           = 3575 x 10^{6} Btu/h

Calculate the annual cost saving

Annual cost saving = E_{Annual saving} x Unit cost

                                = 3575 x 10^{6} Btu/h x \frac{23 dollar}{10^{6}Btu }

                                = 82225

4 0
3 years ago
A(n) __________, used to justify the project is typically prepared in the analysis phase of the secsdlc, must be reviewed and ve
allsm [11]

A CBA , used to justify the project is typically prepared in the analysis phase of the secsdlc, must be reviewed and verified prior to the development of the project plan.

A project plan is a collection of official documents outlining the project's execution and control phases. In addition to addressing scope, cost, and schedule baselines, the plan takes risk management, resource management, and communications into account.

A project plan is a document that outlines each step needed to complete a project from A to B. It is sometimes portrayed as a Gantt chart. It acts as a roadmap by outlining the project phases, important project tasks, their start and end dates, interdependencies, and project milestones.

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