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Kate quit her job, where she earned $120,000 per year, to start her own financial consulting firm. She invested $80,000 of her own funds in furniture, computers, and other assets. During the first year of operation, the firm's costs were $70,000 for rent on the office building, $420,000 for wages and salaries of employees, and $11,000 for supplies and utilities. The market value of the firm's assets at the end of the year was $60,000. During the year, the firm billed its clients for 2,700 hours at $240 per hour. The typical rate of return on financial investments in the economy was 8%. Question 15 Homework Unanswered Due Jul 11th, 11:59 PM In the scenario above, Kate's total explicit (accounting) cost was $ Type your numeric answer and submit Unanswered 3 attempts left Question 16 Homonede 11th 1150 Submit

Kate quit her job, where she earned $120,000 per year, to start her own financial consulting firm. She invested $80,000 of her own funds in furniture, computers, and other assets. During the first year of operation, the firm's costs were $70,000 for rent on the office building, $420,000 for wages and salaries of employees, and $11,000 for supplies and utilities. The market value of the firm's assets at the end of the year was $60,000. During the year, the firm billed its clients for 2,700 hours at $240 per hour. The typical rate of return on financial investments in the economy was 8%. Question 15 Homework Unanswered Due Jul 11th, 11:59 PM In the scenario above, Kate's total explicit (accounting) cost was $ Type your numeric answer and submit Unanswered 3 attempts left Question 16 Homonede 11th 1150 Submit

Economics (MindTap Course List)
Economics (MindTap Course List)
13th Edition
ISBN:9781337617383
Author:Roger A. Arnold
Publisher:Roger A. Arnold
Chapter21: Production And Costs
Section21.2: Two Sides To Every Business Firm
Problem 4ST
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Apply what you've learned Kate quit her job, where she earned $120,000 per year, to start her own financial consulting firm. She invested $80,000 of her own funds in furniture, computers, and other assets. During the first year of operation, the firm's costs were $70,000 for rent on the office building, $420,000 for wages and salaries of employees, and $11,000 for supplies and utilities. The market value of the firm's assets at the end of the year was $60,000. During the year, the firm billed its clients for 2,700 hours at $240 per hour. The typical rate of return on financial investments in the economy was 8%. Question 15 Homework Unanswered Due Jul 11th, 11:59 PM In the scenario above, Kate's total explicit (accounting) cost was $ Type your numeric answer and submit Unanswered 3 attempts left . Question 16 Homework Answered Due Jul 11th, 11:59 PM In the scenario above, Kate's cost of capital was $___________ Type your numeric answer and submit 6400 Answered-Incorrect 2 attempts left Question 17 Homework Answered Due Jul 11th, 11:59 PM In the scenario above, Kate's total opportunity cost was $ Type your numeric answer and submit 129600 Submit X You are incorrect Resubmit O Xx You are incorrect O
Transcribed Image Text:Apply what you've learned Kate quit her job, where she earned $120,000 per year, to start her own financial consulting firm. She invested $80,000 of her own funds in furniture, computers, and other assets. During the first year of operation, the firm's costs were $70,000 for rent on the office building, $420,000 for wages and salaries of employees, and $11,000 for supplies and utilities. The market value of the firm's assets at the end of the year was $60,000. During the year, the firm billed its clients for 2,700 hours at $240 per hour. The typical rate of return on financial investments in the economy was 8%. Question 15 Homework Unanswered Due Jul 11th, 11:59 PM In the scenario above, Kate's total explicit (accounting) cost was $ Type your numeric answer and submit Unanswered 3 attempts left . Question 16 Homework Answered Due Jul 11th, 11:59 PM In the scenario above, Kate's cost of capital was $___________ Type your numeric answer and submit 6400 Answered-Incorrect 2 attempts left Question 17 Homework Answered Due Jul 11th, 11:59 PM In the scenario above, Kate's total opportunity cost was $ Type your numeric answer and submit 129600 Submit X You are incorrect Resubmit O Xx You are incorrect O
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