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Sauron [17]
3 years ago
6

Accounting profit is typically rev: 06_26_2018 Multiple Choice smaller than economic profit because the former does not take imp

licit costs into account. greater than economic profit because the former does not take explicit costs into account. greater than economic profit because the former does not take implicit costs into account. equal to economic profit because explicit costs include all opportunity costs.
Business
1 answer:
miv72 [106K]3 years ago
7 0

Answer:

greater than economic profit because the former does not take implicit costs into account.

Explanation:

Accounting profit= total revenue - explicit cost

Total revenue =price x quantity sold  

Explicit cost includes the amount expended in running the business. They include rent , salary and cost of raw materials

an example

revenue = 100

explicit cost = 50

implict cost = 20

accounting profit = 100 - 50 = 50

economic profit = 50 - 20 = 30

economic profit is less than accounting profit

Economic profit = accounting profit - implicit cost

Implicit cost is the cost of the next best option forgone when one alternative is chosen over other alternatives

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Half of brainly rn <br> ...............
Svetach [21]

Answer:

it is one-fourth of the no whose half is taken

3 0
2 years ago
Read 2 more answers
Silver Corporation incurred costs of $600,000 for managing the wholesale division during the year. The customer details of the c
elena-s [515]

Answer: $200,000

Explanation:

The cost will be allocated to customer Y, if a cause-effect relationship cannot be established with any cost driver will be calculated thus:

Total sales = $600,000 + $400,000 + $200,000 = $1,200,000

The percentage of Y on total sales will be:

= $400,000/$1,200,000 × 100

= 1/3 × 100

= 33.33%

Therefore, the cost that's allocated to Y will then be:

= $600,000 × 33.33%

= $600,000 × 0.3333

= $200,000

Therefore, the correct answer is $200,000

8 0
2 years ago
Michael Barry, Attorney, P.C. began the year with total assets of $126,000, liabilities of $74,000, and stockholders’ equity of
goldenfox [79]

Answer:

The expenses can be recorded as follows;

Debit to the expenses of $33,000 and a credit to the cash account of $33,000.

Explanation:

The accounting equation is an equation that tends to balance a company's assets on one side and the sum of its liabilities and shareholders equity on the opposite side of the equation. It form the basis for the double-entry system in accounting that includes an accounts debit and credit. The debit is a sum to an amount that is owed, it is usually listed on the left hand-side of an account while the credit is a listing of a sum that is received usually on the right hand side of an account.

In the case of Michael Barry, the accounting equation;

Assets=liabilities+stockholders equity

Assets=$126,000

Liabilities=$74,000

Stockholders equity=$52,000

liabilities+stockholders equity=74,000+52,000=$126,000

The assets equals the sum of the liabilities and stockholders equity.

To record expenses paid of $33,000;

                            Debit           Credit

Expenses          $33,000

Cash                                       $33,000

3 0
3 years ago
Suzette has received an order for 1,500 boxes of nuts per week for the next 3 months. If she expects the trend in the marginal p
S_A_V [24]

Answer:

18,000 boxes

Explanation:

1500×3×4 or

1500×12

8 0
3 years ago
On December 31, 2022, Monty Company prepared an income statement and balance sheet and failed to take into account three adjusti
irga5000 [103]

Answer:

Salaries and Wages are owed so they are now liabilities. They are also expenses and will reduce the Net Income.

Rent Revenue was in advance for 2 months meaning one of those months will be December which is in the current period so;

= 7,520/2

= $3,760 will be added to net income for the year

The same amount will be removed from Liabilities as the revenue has now been recognized.

Depreciation reduces the value of Fixed assets so will be deducted from Assets.

It is also an expense so it will reduce Net Income.

Whatever happens to Net Income will happen to Stockholders' equity as well because Net Income is an Equity account.

5 0
3 years ago
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