Please give the answer and explanation to each question. Thanks a lot!

1. Opportunity costs are:

   1. Costs that need to be incurred if a business opportunity arises

   2. the profits that a business forgoes by following a particular course of action

   3. Costs of holding excess cash to take advantage of opportunities

   4. avoidable costs

2. Cash received in January for a credit sale made in December will:

   1. Increase cash but decrease accounts receivable in January

   2. Increase cash and sales revenue in January

   3. Increase cash but decrease expenses in January

   4. Increase cash and increase accounts receivable in January

3. Expenses are the cost of providing goods and services and result in:

   1. Decreased assets or increased liabilities

   2. Increased assets or decreased liabilities

   3. Increases in both assets and liabilities

   4. Decreases in both assets and liabilities

4. Jeremy received $50 as a gift and $120 from his job as a waiter. He then spent $15 on a silver ring. What is Jeremys revenue?

   1. $50

   2. $155

   3. $120

   4. $170

5. Gross profit margin measures the:

   1. efficiency of management in turning over the companys goods at a profit

   2. efficiency of the use of assets in generating assets

   3. effectiveness of investments in inventories

   4. effectiveness of the collection of accounts receivables