Laura's Pizza Place Incurs $800,000 Per Year in Explicit Costs

question 48

Multiple Choice

Laura's Pizza Place incurs $800,000 per year in explicit costs and $100,000 in implicit costs.The restaurant earns $1.3 million in revenues.Based on this information,what is accounting profit for Laura's Pizza Place?

• A)$200,000
• B)$400,000
• C)$500,000
• D)$900,000

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Definitions:

Intercultural Communicator

An individual skilled in exchanging information effectively across different cultures, understanding and respecting diversity.

Global Business

Business activities that transcend national borders, involving transactions, partnerships, and operational strategies worldwide.

Franchise

A licensing arrangement whereby an individual or group is granted the right to operate a business under the established brand and business model of another entity.

Low-context Culture

A communication style characterized by explicit verbal messages, where most of the information is encoded in the words spoken.