Ed Is a Freelance Writer Who Could Work for a Newspaper

question 26

Multiple Choice

Ed is a freelance writer who could work for a newspaper at $25,000 a year but instead works for himself for $41,000 a year. His only business expenses are $1,000 for writing materials and $12,000 for rent. Ed's normal profit is $1,000. Ed's economic profit from working as a freelance writer is

• A) $1,000.
• B) $2,000.
• C) $15,000.
• D) $25,000.

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Definitions:

Inductance

The property of a conductor by which a change in current through it induces an electromotive force (EMF) in both the conductor itself and in any nearby conductors.

Henry

The unit of inductance in the International System of Units (SI), symbolized as H.

Parallel

A circuit configuration where components are connected across common points or junctions, allowing current to divide and flow through multiple paths.

Series

Components in an electrical circuit are said to be in series if they are connected along a single path, so the same current flows through all of the components.