Scenario 5.1 A Dentist's Practice Is Organized as a Sole Proprietorship. Last

question 93

Multiple Choice

Scenario 5.1
A dentist's practice is organized as a sole proprietorship. Last year the dentist's total revenue was $320,000 and total costs were $250,000. The dentist left a job paying $112,000 a year to start the sole proprietorship.
-According to the information in Scenario 5.1, how much accounting profit did the dentist make last year?

• A) $320,000
• B) $208,000
• C) $112,000
• D) $70,000
• E) -$42,000

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Definitions:

Worker Hour

A measure of labor that represents one hour of work performed by an employee or a group of employees.

Gross Savings Rate

The percentage of gross national income saved by a country's residents.

Posterior Chamber

The fluid-filled space in the eye between the iris and the lens, part of the eye's aqueous humor pathway.

Anterior Chamber

The fluid-filled space inside the eye between the iris and the cornea's innermost surface, playing a role in maintaining intraocular pressure.