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Mark resigns from his job as a head chef in a famous restaurant where he earned $70,000 per year to open his own restaurant last year. He withdrew $50,000 of his own savings that had been earning 4% interest and borrowed another $100,000 from the bank at a rate of 5%. As the restaurant space he was leasing had no separate office, Mark converted his basement apartment into office space. He had previously rented the apartment to a student for $300/month. Also, Mark estimates this entrepreneurial talent or forgone entrepreneurial income to be $10,000 a year. In his first year of business, he earned $600,000 and had the following expenses: Utilities, $10,000; employee wages, $100,000, materials, $300,000, and rent, $25,000. What is the accounting and economic profit? Show work
A geothermal heat pump can save up to 80 percent of the annual heating and cooling bills of a certain home in the north-eastern U.S. in this region, the yearly cost of conventionally cooling and heating a 2,000 square foot house is about $2,500.
How important were price considerations in making your college decision? Would a change of a few thousand dollars have mattered?
Impacts of Globalization and CSR for the case and impacts of cultural integration and how that affects management decisions.
What is the velocity of money (V) and the price level (P) consistent with the quantity equation?
It is generally accepted that a fall in the price of a particular brand of a good could lead to less of it being demanded. Where the good in question has but two attributes: attribute 1 and attribute 2. Using Lancaster's characteristics theory in ..
Discuss the process of natural selection as defined by Darwin. How did Darwin's theoriesdiffer from his predecessors In your opinion, have his theoriesproved to be correct Why and why not
i. price discrimination is selling a product at different prices when the underlying cost is the same. describe the
Identify the following as consumption or investment goods or both. Justify your answers an iPod a share of stock the Trans-Canada highway a ski lift an unsold truck by a GM plant in Ontario My textbook didn't go into too much detail on this subject.
What is the maximum amount you would pay for an asset that generates an income of $250,000 at the end of each five years if the opportunity cost of using funds is 8 percent?
When medical fee schedules are negotiated by two monopolists-one representing patients and one representing providers-the equilibrium medical fees will
suppose that a firm operating in perfectly competitive market sells 200 units of output at a price of 3 each. which of
Ongoing United States struggles in Iraq and Afghanistan, political unrest in South America, and civil wars in Africa have driven crude oil values up for the last many years.
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