Which concept--the business profit concept or the economic profit concept--provides the more appropriate basis for evaluating business

Question:

Which concept--the business profit concept or the economic profit concept--provides the more appropriate basis for evaluating business operations? Why?

Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For book-img-for-question

Managerial Economics

ISBN: 978-0324588866

12th edition

Authors: Mark Hirschey

See More Books

Question Posted: Feb 13, 2015 09:46 AM

See More Questions

Why might small business CEOs focus more attention on profit and less on social goals than large business CEOs do?
Why is the economic concept of scarcity a crucial concept for businesspeople to understand?
Which segmentation variables are more useful or appropriate for profiling a target market for an automobile like the Mini? Similarly, which are more useful or appropriate for profiling the target...
Write a program RecoverSignal that will read the binary file written by StoreSignal, as described in the previous exercise. Display the integer values that the data represents on the screen.
A spring-loaded piston/cylinder arrangement contains R-134a at 20C, 24% quality with a volume 50 L. The setup is heated and thus expands, moving the piston. It is noted that when the last drop of...
What are the advantages and disadvantages of custom-building software?
At $t=0$, electron 1 is shot out of an accelerator at a speed of $2.0 \times 10^{3} \mathrm{~m} / \mathrm{s}$. At $t=1.0 \mu \mathrm{s}$, electron 2 is shot out of the accelerator and travels...
Multiple Choice Questions 1. In the long run, which of the following outcomes is most likely for a firm? a. Zero accounting profits but positive economic profits b. Zero accounting profits c....
Question 1 Which class is needed to read data from the console? Input System Reader Scanner 1 pts
In the blank space beside each adjusting entry, enter the letter of the explanation A through F that most closely describes the entry. A. To record this periods depreciation expense. B. To record...
How is the popular notion of business profit different from the economic profit concept? What role does the idea of normal profits play in this difference?
Some argue that prescription drug manufacturers, like Pfizer, gouge consumers with high prices and make excessive profits. Others contend that high profits are necessary to give leading...
A stock has a beta of 0.9, the expected return on the market is 13 percent, and the risk-free rate is 6 percent. What must the beta of this stock be?
A ball is thrown with an initial speed v; at an angle 0; with the horizontal. The horizontal range of the ball is R, and the ball reaches a maximum height R/8. In terms of R and g, find the...
You want to give a bonus to employees who have worked more than 3 years and have sales over $10,000. Which formula should you use? =IF(AND(A1 > 3, B1 > 10000), "Bonus", "No Bonus") =IF(A1 > 3 & B1 >...
You are planning to buy metal sheet cutting machines for your site. Your supplier has two models: Model A can cut 200 sheets a day, but costs $6000. Model B can cut 100 sheets a day, but costs $4000....
Q2. The following table is from the 2011 Review of Financial Studies paper by Burnside, Eichenbaum, Kleshchelskik, and Rebelo. Explain what the authors meant to say from this table. Table 3 Factor...
A fan control system is described as follows: i. ii. The fan F can be switched off manually with a digital signal X, else it is in standby mode. A sensor on one side of the room indicates with a...
Give examples of companies that might use operation costing.
A routine activity such as pumping gasoline can be related to many of the concepts studied in this text. Suppose that premium unleaded costs $3.75 per gal. Work Exercises in order. Use the...
What are the three sources to which behavioral geneticists attribute individual differences in behavior?
Given the highly competitive nature of the restaurant industry, individual companies cautiously guard operating information for individual outlets. As a result, there is not any publicly available...
Antitrust statutes in the United States have been used to attack monopolization by big business. Does labor monopolization by giant unions have the same potential for the misallocation of economic...
Is the number of isocost, isorevenue, or isoprofit lines in a typical two input bounded feasible space limited?
Search and locate a current international issue (an issue that affects more than one culture). 1. Describe the issue 2. Define and discuss the two or more cultures involved in the issue 3. Explain...
How is ethics defined in research and why is it important? Discuss two different ways in which ethics can be compromised when conducting, using, and reporting data. Describe strategies that can be...
I fall into the generation mellineals . What are some characteristics of this generation as far as their work ethics go. Are there characteristics of this generatrion that can affect the way they...

Which concept--the business profit concept or the economic profit concept--provides the more appropriate basis for evaluating business

Question:

Step by Step Answer:

The economic profit concept provides the most appropriat...View the full answer

Managerial Economics

Students also viewed these Economics questions