Which of the Following Equations Is Correct

question 177

Multiple Choice

Which of the following equations is correct?

• A) accounting profit = total revenue - (explicit costs + implicit costs)
• B) normal profit = accounting profit + economic profit
• C) economic profit = accounting profit - implicit costs
• D) economic profit = accounting profit - explicit costs

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Definitions:

Constitution of the United States

The supreme law of the United States, comprising seven articles that delineate the national frame of government.

New Jersey Plan

The New Jersey Plan was a proposal at the Constitutional Convention of 1787, advocating for a single legislative house with equal representation for each state.

One-House Congress

A legislative body with a single chamber or house, as opposed to bicameral systems with two houses.

Veto Power

The constitutional right to reject a decision or proposal made by a law-making body.