When the Owner of an Asset Sells It for More

question 253

Multiple Choice

When the owner of an asset sells it for more than she paid for it, she has a(n)

• A) unnatural profit.
• B) tax-free profit.
• C) asset accumulation.
• D) realized capital gain.

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Definitions:

Marginal Subcontracting Cost

The additional cost incurred for subcontracting an extra unit of production or service, beyond current levels.

Layoff Cost

Expenses incurred by an organization when it temporarily or permanently terminates employment, typically including severance pay and benefits continuation.

Hiring And Training Cost

Expenses incurred in recruiting and equipping new employees with the necessary skills and knowledge for their roles.

Labor Hours

The total number of work hours contributed by employees for productive activities over a specified period.