When Economic Profits in an Industry Are Zero and Implicit

question 36

Multiple Choice

When economic profits in an industry are zero and implicit costs are positive, _____.

• A)accounting profits will be greater than zero
• B)the firm will be running at a loss
• C)accounting profits will be negative
• D)the firm's revenue will not be enough to compensate for its losses, and it will to go out of business
• E)accounting profits will be equal to economic profits

Learn the concept of actual cost versus detailed cost estimates.

Understand how to calculate and interpret cost performance indices and variances.

Recognize the role and management of reserves in project budgeting.

Grasp the principles of earned value management and its application in monitoring project progress.

---

Definitions:

Mania

Disordered mental state of extreme excitement.

Increased Dopamine

A condition characterized by elevated levels of dopamine, a neurotransmitter associated with pleasure, movement, and motivation.

Acetylcholine

A neurotransmitter involved in muscle contraction, arousal, and memory, playing a key role in transmitting nerve impulses at synapses and neuromuscular junctions.