Suppose a Local Hardware Store Has Explicit Costs of $2

question 1

Multiple Choice

Suppose a local hardware store has explicit costs of $2 million per year and implicit costs of $44,000 per year.If the store earned an economic profit of $50,000 last year,this means that the store's accounting profit equaled:

• A)$94,000.
• B)$6,000.
• C)$2.05 million.
• D)$2.044 million.

---

Definitions:

Intellectual Abilities

Refers to the mental capacities that allow individuals to learn, reason, solve problems, and adapt to new situations.

Arithmetic

A branch of mathematics dealing with the properties and manipulation of numbers.

Jean Piaget

A Swiss psychologist known for his pioneering work in child development, particularly his theory of cognitive development that describes how children construct a mental model of the world.

Developmental Stage

A period in an individual's life characterized by distinct and typical patterns of behavior and psychological development.