Joanne left her last job, in which she was earning $60,000, in order to form her own consulting business. Her revenues for the first year of consulting were $210,000. During that year, she hired two assistants for $25,000 each and spent $25,000 on office
equipment. In addition, she incurred $75,000 in miscellaneous expenses. Her economic profit that first year was
A) $0.
B) $50,000.
C) $200,000.
D) $75,000.
Answer: A
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Here's a rather specific question concerning U.S. historical agricultural data. Which of the following increased fivefold from 1950 to 1980?
a. number of farms b. use of horses and mules per farm c. number of farmers d. use of chemical fertilizers per acre e. acreage needed to feed horses and mules
The number of shares of Biggie Corporation stock outstanding in 2013 was 100 million. In 2013, Biggie stock paid a dividend of $2.50 per share and its dividend yield was 2 percent. If the price-earnings ratio is 20, then Biggie's total earnings in 2013 amounted to
a. $15.6 million. b. $250 million. c. $160 million. d. $625 million.
How does this graph indicate inelastic demand?
a. The distance between Q1 and Q2 is the same as the distance between P1 and P2.
b. The distance between Q1 and Q2 is less than the distance between P1 and P2.
c. The distance between Q1 and Q2 is slightly more than the distance between P1 and P2.
d. The distance between Q1 and Q2 is much more than the distance between P1 and P2.
When a bank has a check drawn and cleared against it:
A. excess reserves in the banking system decline. B. the nation's total money supply falls. C. the bank's balance sheet does not change. D. the amount of required reserves the bank must have will fall.