Distinguish between accounting, normal and economic profits. What does normal profit include that accounting profit does not?
Question:
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 62% (8 reviews)
Accounting profit Total Revenue Explicit costs Economic Profit Total Revenue Explicit costs ...View the full answer
Answered By
Ayush Mishra
I am a certified online tutor, with more than 3 years of experience in online tutoring. My tutoring subjects include: Physics, Mathematics and Mechanical engineering. I have also been awarded as best tutor for year 2019 in my previous organisation. Being a Mechanical Engineer, I love to tell the application of the concepts of science and mathematics in the real world. This help students to develop interest and makes learning fun and easy. This in turn, automatically improves their grades in the subject. I teach students to get prepared for college entry level exam. I also use to teach undergraduate students and guide them through their career aim.
5.00+
2+ Reviews
10+ Question Solved
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Question Posted:
Students also viewed these Cost Accounting questions
-
Distinguish between accounting changes that affect consistency and changes that do not. To what does the word consistency refer? How is it possible for an accounting change to affect comparability...
-
Distinguish between an actual costing system and a normal costing system. What are the components of the actual manufacturing costs and the components of the normal manufacturing costs?
-
Distinguish between a firm's explicit costs and its implicit costs and between a firm's accounting profit and its economic profit.
-
You believe that oil prices will be rising more than expected, and that rising prices will result in lower earnings for industrial companies that use a lot of petroleum-related products in their...
-
The Comer Reflector An inside comer of a cube is lined with mirrors to make a comer reflector (see Example 33.3 in Section 33.2). A ray of light is reflected successively from each of three mutually...
-
If an = (bn An = (bn + Cn)", Using the pinching theorm show that the convergent and find its limit sequence an is
-
Sprouse Company is considering an investment in equipment that will replace direct labor. The equipment has a cost of \($64,000,\) with a \($6,000\) residual value and an 8-year life. The equipment...
-
Thompson Photo Works purchased several new, highly sophisticated processing machines. The production department needed some guidance with respect to qualifications needed by an operator. Is age a...
-
Exercise 1 6 - 5 ( Algo ) Financial Ratios for Assessing Profitability [ LO 1 6 - 5 ] Comparative financial statements for Weller Corporation, a merchandising company, for the year ending December 3...
-
Taking the example of Laboon practice by Mokens OR Haka performance by Mori people, explain three characteristics of oral thoughts of expression (i.e., characteristics of oral cultures). Add, why the...
-
Newman Medical Center is considering purchasing an ultrasound machine for $1,170,000. The machine has a 10-year life and an estimated salvage value of $30,000. The center uses straight-line...
-
Assume that a firm can produce either Product A, or Product B, or Product C with the resources it currently employs. These resources cost the firm a total of $50 per week. Also assume that the firm...
-
This chapters opener featured Suzy Batlle and her company Azucar Ice Cream Company. Required 1. Suzy tries to buy raw materials just-in-time for their use in production. How does holding raw...
-
Solve S - log5x+log5(4x 1) = 1
-
Tweaks for newsletter New ideas for newsletter add on. For company newsletter not for email newsletter How can we implement it in a company of solar power energy?
-
6. A motor has a resistance of 85 ohm at 22C, When the motor runs at full load, its resistance increases to 100 ohms. The resistance temperature coefficient is 0.004. The rise in temperature of the...
-
Newsletters, especially virtual newsletters, are an essential way for teachers to communicate with parents of children in their classroom on a regular basis.Newsletters can be sent monthly to keep...
-
Q5. What are the potential tax Implications when an investor decides to automatically reinvest fund distributions into additional non-registered fund units?
-
The principal plus interest at 6% compounded quarterly on a $15,000 loan made 2 1/2 years ago is due in two years. The debtor is proposing to settle the debt by a payment of $5000 today and a second...
-
Why did management adopt the new plan even though it provides a smaller expected number of exposures than the original plan recommended by the original linear programming model?
-
The accompanying diagram illustrates your local electricity company's natural monopoly. The diagram shows the demand curve for kilowatt-hours (kWh) of electricity, the company's marginal revenue (MR)...
-
The movie theater in College town serves two kinds of customers: students and professors. There are 900 students and 100 professors in College town. Each student's willingness to pay for a movie...
-
A monopolist knows that in order to expand the quantity of output it produces from 8 to 9 units it must lower the price of its output from $2 to $1. Calculate the quantity effect and the price...
-
The Poisson probability distribution is a _____. a. normal probability distribution b. continuous probability distribution c. uniform probability distribution d. discrete probability distribution
-
#19 If you are willing to pay $20,350.00 today to receive a perpetuity with the first payment occurring next year then the payment must be $______. Assume a 5.00% discount rate. Answer format:...
-
1. For the lessee to account for a lease as a finance lease, the lease must meet:A. All five of the criteria specified by GAAP regarding accounting for leases.B. Any one of the six criteria specified...
Study smarter with the SolutionInn App