Tommy's Teddy Bears Incurs $300,000 Per Year in Explicit Costs

question 116

Multiple Choice

Tommy's Teddy Bears incurs $300,000 per year in explicit costs and $50,000 in implicit costs.The shop earns $600,000 in revenues and has $1.1 million in net worth.Based on this information,what is accounting profit for Tommy's Teddy Bears?

• A)$250,000
• B)$300,000
• C)$500,000
• D)$1.35 million

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Definitions:

Statistically Significant

This term implies that the likelihood of the results happening by random chance is very low, underlining the importance of the findings.

Mean

In statistics, the arithmetic average of a set of numbers, calculated by adding all the values together and then dividing by the number of values.

P Value

A statistical measure that indicates the probability of the observed data occurring under the null hypothesis, used in hypothesis testing to determine significance.

95% Confidence Intervals

Statistical ranges, with a 95% surety, where the true value of a parameter, like a mean, is expected to lie.