2. Mr. Ahmed owns and operates a small business that provides economic consulting services. During the year he spends $ 55,000 on travel to clients and other expenses, and the computer that he owns depreciates by $ 2,000. If he didn't use the computer, he could sell it and earn yearly interest of $ 100 on the money created through this sale. Mr. Ahmed's total revenue for the year is $ 100,000. Instead of working as a consultant for the year, he could teach economics at a small local college and make a salary of $ 50,000.
i. What is Ahmed's accounting profit?
ii. What is Ahmed's economic profit?
Answers (1)
Know the Answer?
Not Sure About the Answer?
Get an answer to your question ✅ “2. Mr. Ahmed owns and operates a small business that provides economic consulting services. During the year he spends $ 55,000 on travel to ...” in 📙 Engineering if there is no answer or all answers are wrong, use a search bar and try to find the answer among similar questions.
Search for Other Answers
You Might be Interested in
Where are the display settings for your monitor (s) located? Internet Explorer Control Panel O Default Programs OneDrive
Answers (2)
Extensive property means and explain Example of extensive property.
Answers (1)
A computer maintenance company wants to 'capture' the knowledge that employees carry around in their heads by creating a database where employees document their solutions to unusual maintenance problems.
Answers (1)
This code initially states that n=10 and f=n. Once the code enters the while loop, it stays in the while loop until the condition n>1 is not true. n is subtracted by 1 every iteration. This means that f = 10*9*8*7*6*4*3*2*1.
Answers (1)
A product has a market estimate of 180,500 components and requires three processing steps (turning, milling, and drilling), having defective estimates of d1=0.06, d2=0.04, d3=0.01.
Answers (1)
New Questions in Engineering
Familiarity with basic fastener properties: For each of the standard fasteners specified informally below, determine the major diameter d, the pitch p, the pitch diameter dp, and the bolt length L.
Answers (1)
The diameter of a cylinder is called the a.) stroke b.) bore c.) principal length d.) radius
Answers (1)
Consider the following grooves, each of width W, that have been machined from a solid block of material. (a) For each case obtain an expression for the view factor of the groove with respect to the surroundings outside the groove.
Answers (1)
What is the last step to the design process? A: Define the problem B: Present solution C: Evaluate a solution D: Develop a solution
Answers (1)
The controller can be considered the brain of closed loop system
Answers (1)