Imagine Tom's Annual Salary as an Assistant Store Manager Is

question 77

Multiple Choice

Imagine Tom's annual salary as an assistant store manager is $30,000,he owns a building that rents for $10,000 yearly,and his financial assets generate $1,000 per year in interest.One day,after deciding to be his own boss,he quits his job,evicts his tenants,and uses his financial assets to establish a bicycle repair shop.To run the business,he outlays $15,000 in cash to cover all the costs involved with running the business,and earns revenues of $50,000.What are Tom's accounting profits?

• A)$35,000
• B)$50,000
• C)$24,000
• D)-$6,000

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Definitions:

Impersonal Situation

A scenario or context that lacks personal connection or emotional involvement.

Credibility

The quality of being trusted and believed in, often reflecting a person's reliability or the convincing power of an argument.

Authority Figure

An individual who holds power or influence, often in a leadership role, within a specific context.

Sanction

A sanction can refer to a penalty imposed for breaking a law, rule, or agreement, or it can denote official permission or approval for an action.