Refer to Scenario 7

question 77

Multiple Choice

Refer to Scenario 7.2 below to answer the question(s) that follow.
SCENARIO 7.2: You are the owner and only employee of a company that sets odds for sporting events. Last year you earned a total revenue of $100,000. Your costs for rent and supplies were $50,000. To start this business you invested an amount of your own capital that could pay you a return of $20,000 a year.
-Refer to Scenario 7.2. Your economic profit last year was

• A) -$40,000.
• B) -$10,000.
• C) $10,000.
• D) $30,000.

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Definitions:

External Source

An entity or resource outside of an organization that provides information, materials, or services.

Operating Efficiencies

Refers to the ability of an organization to minimize costs and resource use while maximizing output and productivity.

Government Regulations

Rules and standards established by governmental bodies that are meant to control and guide the activities of various industries and organizations.

Work Arrangements

The structures and patterns of work, including hours, location, and contractual terms.