2. a. Suppose you are in business earning an accounting profit of $25,000. What is your economic...

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a. Suppose you are in business earning an accounting profit of $25,000. What is your economic profit if the implicit cost of your capital is $2,000 and the opportunity cost of your time is $23,000? Explain your answer.

b. What does your answer to part a tell you about the advisability of devoting your time and capital to this business?

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Krugmans Economics For AP

ISBN: 9781464122187

2nd Edition

Authors: Margaret Ray, David Anderson

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Question Posted: Oct 03, 2024 06:02 AM

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2. a. Suppose you are in business earning an accounting profit of $25,000. What is your economic...

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