Can economic profit ever exceed accounting profit?
No. Economic profit = Accounting profit - Implicit costs. Economic profit could be equal to accounting profit if there were no implicit costs, but in the presence of implicit costs, economic profit will be less than accounting profit.
You might also like to view...
The median voter theorem is more likely to hold true in elections with a large number of candidates
Indicate whether the statement is true or false
Efficiency wage is another name for the minimum wage
Indicate whether the statement is true or false
Which is NOT an example of signaling high quality in a social setting
a. wearing a business suit on a job interview b. scrimping on the tip for the waiter after a dinner date c. offering an expensive engagement ring to your bride d. Visiting the beauty salon before a big date
Perfectly competitive markets have absolutely no drawbacks
a. True b. False Indicate whether the statement is true or false