Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

What are Barney's average monthly economic profits Barney decides to quit his job as a corporate accountant, which pays $16,000 a month, and goes into

What are Barney's average monthly economic profits

image text in transcribed
Barney decides to quit his job as a corporate accountant, which pays $16,000 a month, and goes into business for himself as a certified public accountant. He runs his business from his converted garage apartment, which he could rent out for $320 a month if he wasn't using it as a home office. He must purchase office supplies worth $70 a month, and his monthly electricity bill has increased by $50 now that he is working out of his home office. After six months of working from home, Barney has earned an average of $18,000 per month. Instructions: Enter your answers as a whole number. a. What are Barney's average monthly accounting profits? $ 1 178 80 b. What are Barney's average monthly economic profits? $

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

What Environmentalists Need To Know About Economics

Authors: Jason Scorse

1st Edition

0230107311, 9780230107311

More Books

Students also viewed these Economics questions

Question

13. Give four examples of psychological Maginot lines.

Answered: 1 week ago