Last year Doreen's Dairy earned a total revenue of $42 thousand from selling 7 thousand pounds of Swiss cheese. The Dairy spent $28 thousand on variable inputs and incurred a total cost of $40 thousand. The owner, Doreen, had an offer to work for another firm for $25 thousand. The firm's economic profits and fixed costs for the year are, respectively, -$23 thousand and $14 thousand $2 thousand and $12 thousand. -$11 thousand and $14 thousand. $0.3 thousand and $12 thousand.

Last year Doreen's Dairy earned a total revenue of $42 thousand from selling 7 thousand pounds of Swiss cheese. The Dairy spent $28 thousand on variable inputs and incurred a total cost of $40 thousand. The owner, Doreen, had an offer to work for another firm for $25 thousand. The firm's economic profits and fixed costs for the year are, respectively, -$23 thousand and $14 thousand $2 thousand and $12 thousand. -$11 thousand and $14 thousand. $0.3 thousand and $12 thousand.

EBK CFIN

6th Edition

ISBN:9781337671743

Author:BESLEY

Publisher:BESLEY

Chapter15: Managing Short-term Assets

Section: Chapter Questions

Problem 13PROB

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