Economists and Accountants Both Include Forgone Income as a Cost

question 79

True/False

Economists and accountants both include forgone income as a cost to a small business owner.

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Definitions:

Accounts Payable

Short-term liabilities of a company, representing amounts owed to suppliers or creditors for goods and services received but not yet paid for.

Computer

An electronic device capable of manipulating data or information, allowing for storage, retrieval, and processing to perform various tasks.

Capital

The financial resources available for use, such as cash, goods, or property, invested to create profit.

Shift of Assets

The reallocation or transfer of assets from one part of a company to another, or between companies, which can affect financial statements and tax liabilities.