Pete owns a shoe-shine business. Which of the following costs would be implicit costs? (i) shoe polish (ii) rent on the shoe stand (iii) wages Pete could earn delivering newspapers (iv) interest that Pete's money was earning before he spent his savings to set up the shoe-shine business
a. (i) and (ii) only
b. (iv) only
c. (iii) and (iv) only
d. (i), (ii), (iii), and (iv)
c
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Refer to the figure above. If the optimal number of machines rented is 100, the market rental price must be:
A) $3 per month. B) $4 per month. C) $5 per month. D) $7 per month.
To decrease the money supply, the Fed purchases government securities, which decreases government spending
a. True b. False Indicate whether the statement is true or false
In 2008, $1 Canadian cost 0.56 British pounds and in 2010, it cost 0.63 British pounds. Therefore, 1 British pound was worth _____ Canadian in 2008 and _____ Canadian in 2010
a. $1.79; $1.59 b. $1.72; $1.51 c. $1.87; $1.65 d. $1.97; $1.75
Bubba is a shrimp fisherman who catches 4,000 pounds of shrimp per year. He can sell the shrimp for $5 per pound. His average total cost of catching shrimp is $3 per pound. Bubba's annual total profit is
a. $8,000. b. $12,000. c. $20,000. d. $32,000.