Manisha could work for another firm making $10,000 per month, but she decides to open her own gourmet cheese store and pay herself $2,000 per month
In her first month of operations, she spends $6,000 on cheese, $1,000 on other items, and $2,500 on rent. She had a great opening month, and brought in revenues of $14,500. What are Manisha's economic profits? A) $3,000
B) $4,000
C) -$5,000
D) -$6,000
C
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Voluntary exchange
A. is usually beneficial to one party, but not the other. B. is always beneficial to both parties. C. is occasionally beneficial to both parties. D. occurs only between nations, not between individuals.
If firms are producing an output greater than planned expenditures, these firms will cut back on production, which decreases GDP
Indicate whether the statement is true or false
The "big tradeoff" refers to the tradeoff between
A) work and leisure. B) equity and efficiency. C) public goods and private goods. D) taxes and transfers.
Coins in the United States are manufactured and distributed by the: a. Federal Reserve
b. U.S. Mint. c. International Trade Administration. d. Federal Bureau of Investigation. e. Comptroller of the Currency.