Scenario 13-6 A Certain Firm Produces and Sells Staplers.Last Year,it Produced 7,000

question 180

Multiple Choice

Scenario 13-6
A certain firm produces and sells staplers.Last year,it produced 7,000 staplers and sold each stapler for $6.In producing the 7,000 staplers,it incurred variable costs of $28,000 and a total cost of $45,000.
-Refer to Scenario 13-6.Suppose the owner of the business had an offer to work for another firm that raises his opportunity cost by $25,000.The firm's economic profit for the year was

• A) $-28,000.
• B) $-25,000
• C) $-3,000.
• D) $17,000.

Analyze return on equity (ROE) to understand how effectively a company uses invested capital to generate earnings.

Perform calculations related to earnings per share, price-earnings ratio, dividend payout ratio, dividend yield ratio, and book value per share to understand aspects of a company's financial performance and market valuation.

Understand the concepts and benefits of group purchasing and electronic exchanges.

Identify different types of electronic payment methods and their uses.

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Definitions:

Drop-Out Percentage

The ratio or percentage of individuals who begin an educational or training program but fail to complete it.

Incidence Of Fleas

Typically refers to the occurrence or rate at which fleas are found on animals or in environments, not a standard economic term.

Intention To Treat

Intention To Treat is an approach in clinical trials where all participants are included in the final analysis regardless of whether they completed the study as per the protocol.

Randomly Selected

Chosen without a specific pattern, order, or method, ensuring each item has an equal chance of being selected.