Examlex
Eliminate the Parameter
-
Short Run
A period of time during which at least one of a firm's inputs is fixed and cannot be changed.
Normal Return
The minimum profit necessary to keep a company in business, equating to the opportunity cost of capital.
Own Capital
The funds or assets personally invested by the owners into a business, distinct from borrowed capital.
Economic Profit
The separation between full-scale income and aggregated expenses, acknowledging both straightforward and underlying costs.
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