Scenario 13-7 Julia Prepares Tax Returns and Does Bookkeeping. Last Year Her

question 18

Multiple Choice

Scenario 13-7
Julia prepares tax returns and does bookkeeping. Last year her revenues from the tax and bookkeeping business were $150,000, and her expenses for the business were $15,000. When she started her tax and bookkeeping business, Julia gave up her supplemental job doing in-home pet sitting. She used to earn $10,000 per year from pet sitting. Assume that she incurred no costs for her pet sitting business.
-Refer to Scenario 13-7. Julia's implicit costs are

• A)0.
• B)$10,000.
• C)$15,000.
• D)$25,000.

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Definitions:

Experimental Unit

The smallest division of the experimental material such that any two units are independent and can be assigned to different treatments.

Cage

A structure of bars or wires in which animals or birds are confined.

Confounding Variable

A variable outside of the researcher's control that can affect the results of a study, potentially leading to misleading conclusions.

Lurking

In statistics, a lurking variable is one that is not directly observed but can influence the relationship between the studied variables.