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aleksley [76]
2 years ago
9

Joe is the owner-operator of Joe's Haircuts Unlimited. Last year he earned $100,000 in total revenues and paid $35,000 to his em

ployees and suppliers. During the course of the year, he received three offers to work for other barbers, with the highest offer being $55,000 per year. What is Joe's accounting profit?
Business
1 answer:
Agata [3.3K]2 years ago
3 0

Answer:

Accounting profit= $65,000

Explanation:

Giving the following information:

Last year he earned $100,000 in total revenues and paid $35,000 to his employees and suppliers.

The difference between the accounting profit and the economic profit is that the last one includes the opportunity cost.

In this case:

Accounting profit= 100,000 - 35,000

Accounting profit= $65,000

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Suppose First National Bank holds ​$100 million in assets with an average duration of 3 ​years, and it holds ​$90 million in lia
Nitella [24]

Answer:

% change decrease is = 1.2 %

Explanation:

given data

assets = $100 million

average duration = 3 ​years

liabilities = $90 million

average duration = 3 years

interest rates= 4% increase

to find out

percentage decrease in First National​ Bank's net worth relative to the total original asset value

solution

change in assets value is

change in assets value = $100 million  × 4%  × 3 year = $1200 million

change in liability value is

change in assets value = $90 million  × 4%  × 3 year = $1080 million

change in net worth = $1200 - $1080 = $120 million

so % change is = \frac{120}{100}

% change decrease is = 1.2 %

3 0
2 years ago
Due to the limitation of land and water resources on planet earth, biotechnology can help to increase the crop yields to meet hu
blondinia [14]
Biotechnology helps increase the crop yields to meet human needs and demands in the years to come. Assuming that the production of crops today, March 2017 is 10 million tons and the demand for crops is determined using the given population which is 7 billion. If an average person needs 10 kg of food daily, the needed food is a total of 70 million tons. The current supply is 10 million tons per day, so a balance of 60 million tons per day is still needed. Therefore, farmers have to produce 85.71% more grain to feed human population in 2018.
7 0
2 years ago
Cahalane Corporation has provided the following data for its two most recent years of operation: Selling price per unit $ 91 Man
ankoles [38]

Answer:

A. The amount of fixed overhead deferred in inventories is $60,000

Explanation:

Unit product cost      

                                            Year 1      Year 2  

Direct materials                      $12         $12

Direct labor                              $5        $5  

Variable manufacturing

overhead                                     $5      $5  

Fixed overhead

                                                   $48      $36  

                           ($432,000 ÷ 9,000)   ($432,000 ÷ 12,000)

unit product cost                       $70      $58

Fixed overhead deferred (1,000 × $48)   $48,000  

Fixed overhead released                                             -$48000  

Fixed overhead deferred (3000 × $36)                        $108,000  

Net                                                             $48,000        $60,000

The amount of fixed overhead deferred in inventories is $60,000

8 0
2 years ago
Daniel wants to predict how much time a hike will take based on the distance of the hike. He collected some data on the time (in
Elza [17]

9514 1404 393

Answer:

  graph C

Explanation:

Daniel has chosen the distance to be his explanatory variable, so that is the one that should be plotted on the x-axis. Distance has a range from 4.5 to 18, so a scale from 0 to 20 works better than a scale from 0 to 60.

Graph C is the one that matches this description.

5 0
2 years ago
Read 2 more answers
A bank with a two-year horizon has issued a one-year certificate of deposit for $50 million at an interest rate of 2 percent. Wi
IRINA_888 [86]

Explanation:

The bank runs the danger that just before the second year, the short-term interest rate will increase, increasing its Lending value, but leaving untouched the interest income the bank gets from either the Treasury bill.  

Annual interest revenue of 0.04* $50 million= 2 million and annual interest costs for the bank (0.02)* $50 million= 1 million, between 2 per cent to 4 per cent for the Treasury note.

The bank makes a profit of $2 million – $1 million = $1 million. If the interest rate rises 1 percent, the bank’s profit falls to

((0.04)* $50 million) – ((0.03) * $50 million) = $500,000.  

7 0
2 years ago
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