Suppose that a business incurred implicit costs of $300,000 and explicit costs of$1,300,000 over the past year. If the firm sold 70,000 units at $20 per unit, its accounting:O profits were $400,000 and its economic profits were $100,000O profits were $100,000 and its economic profits were zero.O profits were $100,000 and its economic losses were $200,000O losses were $200,000 and its economic profits were $100.000.tvMacBook ProDOD000F4F819F5F6F7

Accounting profit can be defined as a profit, which a firm gets after paying only the explicit cost.…

Suppose that a business incurred implicit costs of $300,000 and explicit costs of $1,300,000 over the past year. If the firm sold 70,000 units at $20 per unit, its accounting: O profits were $400,000 and its economic profits were $100,000 profits were $100,000 and its economic profits were zero. O profits were $100,000 and its economic losses were $200,000 O losses were $200,000 and its economic profits were $100,000.

Suppose that a business incurred implicit costs of $300,000 and explicit costs of $1,300,000 over the past year. If the firm sold 70,000 units at $20 per unit, its accounting: O profits were $400,000 and its economic profits were $100,000 profits were $100,000 and its economic profits were zero. O profits were $100,000 and its economic losses were $200,000 O losses were $200,000 and its economic profits were $100,000.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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