If a business owner is earning a zero or normal economic profit, what does that mean?

Question:

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Economics An Introduction To Traditional And Progressive Views

ISBN: 9780765616685

7th Edition

Authors: Howard J. Sherman, E. K. Hunt, Reynold F. Nesiba, Phillip A. O'Hara, Barbara A. Wiens-Tuers

See More Books

Question Posted: Nov 08, 2023 09:00 PM

See More Questions

Distinguish between accounting, normal and economic profits. What does normal profit include that accounting profit does not? If Economic profit is = 0, what does that mean for normal profit? Is...
Economic Rent and Profiting from Entrepreneural Skill: Suppose, as in exercise 14.4, that you are operating a hamburger restaurant that is part of a competitive industry. Now you are also the owner,...
MCQ questions: 1. An increase in oil prices, such as the oil shocks in the 70s, lead to _______ thereby causing ________ a movement along the AS curve; cost-push inflation a leftward shift in the AS...
The Chicago Omni Hotel is a 750-room luxury hotel offering guests the finest facilities in downtown Chicago. The hotel is organized into four departments: lodging, dining, catering, and retail...
On March 1, 2006, Tim Cochran established Star Realty, which completed the following transactions during the month: a. Tim Cochran transferred cash from a personal bank account to an account to be...
Kibitz Fitness received $24,000 from customers on August 1, 2011. These payments were advance payments of yearly membership dues. Required: At December 31, 2011, calculate what the balances in the...
A pharmaceutical company has developed a remarkably effective headache remedy and is deliberating whether to market it over the counter or as a prescription drug. Over-the-counter sales would be more...
On January 1, 2011, Peanut Company acquired 80% of the common stock of Salt Company for $200,000. On this date, Salt had total owners equity of $200,000. During 2011 and 2012, Peanut appropriately...
Priya is in charge of payroll for Blanton Corp. Bill Helm was terminated three months ago but, due to an HR error, he was never removed from the payroll. Priya noticed this and began cashing his...
If a business owner is earning a zero or even negative economic profit, does that mean the accounting profit is negative? Explain.
Would a business owner want to stay in business if the economic profit is negative? Explain why or why not.
Consider the wave function. \[\left|\Psi_{A B}^{(e n t)}ightangle=\frac{1}{\sqrt{2}}\left(|\downarrowangle_{A} \otimes\left|\uparrow{ }_{B}ightangle-|\uparrowangle_{A}...
pr Hwk12 Consider the differebtiable function F(x) whose instantaneous rates are given by the table of values below: I 3.00 3.50 4.00 4.50 5.00 5.50 6.00 6.50 7.00 F'(x) 21.00 27.50 35.00 43.50 53.00...
A stone was dropped off a cliff and hit the ground with a speed of 152 ft/s. What is the height of the cliff? (Use 32 ft/s for the acceleration due to gravity.) Step 1 We know that s(t) = 1 at + vot...
The 150 m long beam is submitted to a distributed load w(x) = (0.05 x 2) + 10 N/m. 50 50 w(x) 100 150 What is the moment about the point O in kN.m created by the distributed load? O-25.7 kN.m O-249...
X Calculate the reaction rate at various conversions, as shown below: FAO -TA -TA 0.2 0.8 Considering that for a PFR: dx V = FAO What is the conversion reached after the 50 m of this PFR?
For decades, leaders have talked about flexible working options, yet only few companies were consistently using these practices prior to the global health crisis of 2020. In March 2020, organizations...
For each differential equation verify by differentiation and substitution that the given function is a solution a. y' = y2 + 4 (| t | < /4); y = 2 tan 2t b. y' = 1/t y + t (t > 0): y = 3t + t2
H.J. Heinzs annual dividends were as follows: 1990 ..............$0.540 1991.............. 0.620 1992 .............. 0.700 1993.............. 0.780 1994 .............. 0.860 1995 .............. 0.940...
What is corporate risk management? Why is it important to all firms? MINI CASE Assume that you have just been hired as a financial analyst by Tennessee Sunshine Inc., a mid-sized Tennessee company...
Risks that firms face can be categorized in many ways. Define the following types of risk: (1) speculative risks; (2) pure risks; (3) demand risks; (4) input risks; (5) financial risks; (6) property...
What are the three steps of corporate risk management? MINI CASE Assume that you have just been hired as a financial analyst by Tennessee Sunshine Inc., a mid-sized Tennessee company that specializes...
Question 42 (2.5 points) In general, the TVA portfolio: Is intended to be invested primarily in mid-cap growth stocks traded on U.S. exchanges Is intended to be a concentrated portfolio invested...
Guild Corporation was organized on June 1. The company's charter authorizes 500,000 shares of $5 par value common stock. On July 1, the attorney who helped organize the corporation accepted 1,050...
1Which would not be appropriate for a managerial accountant faced with any ethical dilemma, if your supervisor is the CEO: contact your attorney about your legal obligations and rights. contact an...

If a business owner is earning a zero or normal economic profit, what does that mean?

Question:

Step by Step Answer:

When a business owner earns zero economic profit it means that the business is making exactly enough ...View the full answer

Economics An Introduction To Traditional And Progressive Views

Students also viewed these Business questions