Economic profits differ from accounting profits because ________
A) the former is calculated by economists and the latter by accountants
B) many firms own their own capital so accounting profits do not factor this cost
C) most firms report economic profits once a year and accounting profits every pay period
D) all of the above
E) none of the above
B
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Which of the following statements about international trade restrictions is true?
a. They ensure that only efficient producers survive. b. They ensure that countries specialize only in those products that they can produce most efficiently. c. In the majority of cases, they harm domestic consumers. d. They typically benefit foreign producers at the expense of domestic consumers. e. They ensure that higher-quality goods are provided at lower prices.
Holders of a foreign currency are willing to supply that currency to Americans in exchange for dollars
a. only because they want to buy American goods b. only because they want to purchase American services c. primarily because they want to purchase American assets d. because they want to purchase American goods, services and assets e. because their governments force them to do so
A local business sells its product for $40 each in a competitive price-taker market. At its present rate of output, it's marginal cost is $40, average variable cost is $45, and average total cost is $60 . The business should
a. increase output b. reduce output but not to zero c. maintain the present rate of output d. shut down e. raise the price
Profit can be defined as the...
What will be an ideal response?