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Q. Anthony Figueroa is a CPA, who works for an accounting consulting firm. His annual salary income is $70,000. Anthony is considering opening up his own consulting firm. He estimates that the annual rent for an office would cost him $20,000; a secretary would cost $24,000 per year. If he would rent office equipment, he would have to pay $11,000 per year. The purchase of required supplies and payment of electricity bills, water as well as telephone bills would cost approximately $5,000 a year. Anthony estimates that the revenues that he would generate with consulting services would be $120,000 a year.
a. Calculate Anthony his explicit cost for operating his consulting firm for a year
b. What is Anthony's accounting cost?
c. What is Anthony's implicit cost?
d. Should Anthony Figueroa start his own practice? Explain why.
q.a computer manufacturer developed the following demand curve.q - 700p 80i - 500s 0.01awhere p is the price of a
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