1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Zina [86]
3 years ago
11

An web designer quits a project where she was paid $50,000 on completion of the project. She joins a new company with sales reve

nues of $550,000 last year, while spending $250,000 on compensation for employees (excluding the owner), $70,000 on capital, and $30,000 on materials. What was the firm’s economic profit?
Business
1 answer:
shutvik [7]3 years ago
4 0

Answer:

$150,000

Explanation:

Economic profit is accounting profit less implicit cost or opportunity cost.

Accounting profit = Total revenue - Total cost

Economic profit = Total revenue - Total cost - Opportunity cost

Opportunity cost is the cost of the next best option forgone when one alternative is chosen over other alternatives. The opoortunty cost of the web designer is $50,000.

Revenue is $550,000

Total cost = $250,000 + $30,000 + $70,000 = $350,000

Economic profit = 550,000 - $350,000 - $50,000 = $150,000

I hope my answer helps you

You might be interested in
Making hypothetical changes to data and observing the results is:
Shtirlitz [24]

Making hypothetical changes to data and observing the results exists option b. What-if analysis

<h3>What is What-if analysis?</h3>

What-If Analysis exists as the method of changing the values in cells to see how those differences will affect the outcome of formulas on the worksheet. Three types of What-If Analysis tools come with Excel: Scenarios, Goal Seek, and Data Tables. Scenarios and Data tables bear sets of input values and choose possible outcomes.

A what-if analysis or sensitivity analysis exists as a powerful decision-making tool that permits brands to understand what kind of business consequences can arise from modifying one or more variables.

A what-if analysis exists as a study an individual or company creates about a particular number of events where variables are adjusted to determine what the outputs would be. This approach stands typically implemented when there exists limited information from where to create a concise decision. Then, individuals control to outline all the possible outcomes to find out what their risks are.

Software like Microsoft Office Excel promotes the implementation of what-if analysis.

Hence, Making hypothetical changes to data and observing the results exists option b. What-if analysis.

To learn more about What-if analysis refer to:

brainly.com/question/24843744

#SPJ9

3 0
2 years ago
During January 2017 General Fund supplies ordered in the previous fiscal year and encumbered at an estimated amount of $2,000 we
Norma-Jean [14]

Answer:

The correct answer is:

Expenditures—2017 in the amount of $200. (C.)

Explanation:

This scenario describes a record that was less than the actual amount spent on the General Fund supplies. The amount recorded was $2,000, meanwhile the actual amount spent was $2,000. This entails that an amount worth $200 was not recorded, hence it will be debited as expenditures, but the question now is where the debit will be recorded?

This review was done in January 2017, meaning that the income statement for the 2016 Fiscal year must have been balanced, hence the amount will be an expenditure recorded in 2017, but the particulars will have a description that it was a carried over expenditure from 2016. Therefore $200 will be debited from 2017 as expenditures.

5 0
3 years ago
This year Randy paid $29,050 of interest on his residence. (Randy borrowed $464,000 to buy his residence, and it is currently wo
Luden [163]

Answer:

the last part of the question is missing, so I looked for it:

a. Randy received $2,200 of interest this year and no other investment income or expenses. His AGI is $75,000.

b. Randy had no investment income this year, and his AGI is $75,000.

a) Randy can deduct $31,575:

  • the mortgage interest is deductible
  • the car loan interest is not deductible
  • he can deduct $4,725 - $2,200 = $2,525 as investment interest expense

b) Randy can deduct $29,050

  • the mortgage interest is deductible
  • the car loan interest is not deductible
  • since he had no investment revenue, he cannot deduct any investment interest expense

5 0
3 years ago
Which Marriott Luxury brand is MOST LIKELY to provide the timeless glamour of its heritage in pristine locations while offering
Korvikt [17]

Answer:

Bvlgari Hotel

Explanation:

Marriott international hotel brand has joined Bvlgari to launch a new luxury brand of hotels to provide the timeless glamour of its heritage in pristine locations while offering flawless luxury service. Marriot International, inc. is one of the largest hospitality companies in the world. They have announced a joint venture with Bvlgari hotel & resort. Bvlgari hotel & resort is famous for its unique Italian hotel design concept, it has a global footprint, its aims to convey the excitement about the Bvlgari brand and its heritage of magnificent Roman jeweller.

4 0
3 years ago
Chambersburg Corp Between 2016 and 2017, Chambersburg sold some equipment that had an original cost of $57,500 . Which statement
DedPeter [7]

Answer:

<em>Detailed Question lifted from google: </em>

<em>Use the information presented below for Chambersburg Corp for 2017 and </em>

<em>2016 to answer the questions that follow. Chambersburg uses the straight-line depreciation method. 2017 2016 Property, plant, and equipment $ 250,000 $190,000 Accumulated depreciation 100,000 85,000 Depreciation expense 62,500 47,500 Net sales 1,000,000 900,000 Average Total assets 625,000 475,000 Refer to the information for</em>

<em>Chambersburg Corp Between 2016 and 2017, Chambersburg sold some equipment that had an original cost of $57,500 . Which statement is most likely true concerning transactions that must have occurred during the period? </em>

<em>a. Chambersburg also purchased additional equipment during the year. </em>

<em> b. The selling price of the equipment sold was reported with net sales. </em>

<em> c. The equipment that was sold had a book value of $12,500. </em>

<em> d. The equipment sold had not been reported with Chambersburg's property, plant and equipment.</em>

<em />

The only applicable answer based on the question is A, <em>Chambersburg also purchased additional equipment during the year. </em>

Explanation:

A. Between 2016 and 2017 <em>Property, plant, and equipment increased by $60,000 (which is $250,000 minus $190,000)</em>

<em />

B. Between 2016 and 2017 Depreciation expense on <em>Property, plant, and equipment increased by $15,000 (which is $62,500 minus $47,500)</em>

<em />

<em>Meaning attributable depreciation to the new addition to PPE of $60,000 is actually $15,000.</em>

<em />

<em />

<em />

<em />

<em />

<em />

<em />

3 0
3 years ago
Other questions:
  • Sellers of a good bear the larger share of the tax burden when a tax is placed on a product for which the (i) supply is more ela
    8·1 answer
  • Ronnie, the advertising manager of a leading newspaper, congratulates every member of the space selling team who achieves his or
    5·2 answers
  • businessYou are a Slovak immigrant steelworker in Pennsylvania. What reasons would you have for joining a union? Describe your h
    10·1 answer
  • In the current year, Azul Corporation, a calendar year C corporation, received a dividend of $30,000 from Naranja Corporation. A
    14·1 answer
  • A computer manufacturing company allows customers to shop in their preferred way. For example, they can gather information onlin
    13·2 answers
  • Which of the following is NOT something that can be gleaned from a company's SWOT? How to improve a company's strategy by using
    7·1 answer
  • On january 1, salow company enters into a contract to provide custom-made equipment to byhi corporation for $100,000. the contra
    14·2 answers
  • Do you think it makes sense for a transnational organization to have more than one headquarters? What might be some advantages a
    14·1 answer
  • General Motors purchased on account a shipment of iron bars from Furnace Inc. and promptly paid within the discount period. Comp
    11·1 answer
  • According to Ms. Duckett, what is important to remember about finances?
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!