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.
Principles of Microeconomics
7th Edition
ISBN:9781305156050
Author:N. Gregory Mankiw
Publisher:N. Gregory Mankiw
Chapter13: The Cost Of Production
Section: Chapter Questions
Problem 6PA
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![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
O 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.
tv
MacBook Pro
DOD
000
F4
F8
19
F5
F6
F7](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F1acf3cb5-5309-474b-8850-65ffa5dc296f%2F72f3d7e2-46eb-48a4-baeb-565d3e00be96%2Fzj07way_processed.jpeg&w=3840&q=75)
Transcribed Image Text: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
O 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.
tv
MacBook Pro
DOD
000
F4
F8
19
F5
F6
F7
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