What cost would an accounting statement reveal should current decisions be based on accounting cost.

Q: Classify the Costs for Predicting Cost Behavior?

A: Every company incurred the costs to produce goods and services. For example labor cost, and…

Q: What is meant by Explicit and Implicit costs?

A: Cost is characterized as the monetary value of both producers and customers' purchased goods and…

Q: The opportunity cost of money that a firm’s owner has invested is an example of  A Implicit costs. B…

A: Opportunity cost is by implicit costs. That is, implicit cost is the opportunity cost that arises…

Q: Questions: 1. Isoquants can be convex, linear, or L-shaped. What does each of these shapes tell you…

A: Iso-quant: It shows the combination of the factors of an economy that produce the same level of…

Q: What is the difference between economic costs and accounting costs? Explain it in your own words and…

A: Meaning of Cost: The term cost refers to the situation under which a firm occurs various expenses…

Q: upon graduating with an accounting degree, you open your own accounting firm of which you are the…

A: Economic Cost:- Economic cost can be defined as the sum of both accounting cost and implicit cost.…

Q: Suppose that a business incurred implicit costs of $200,000 and explicit costs of $1 million in a…

A: Accounting profit refers to the excess revenue after subtracting the explicit cost from total…

Q: My candy bar company made 100 million bars last year, sold for $1 each. I also paid 100 people last…

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: How would the long run total cost curve change if the price of capital increase? Explain your answer…

A: Long run total cost curve show the total cost of optimal choice of combination for labor and capital…

Q: The first unit of a product took 1,000 hours to build and the learning curve is 85%. How long will…

A: To produce the first unit takes 1000 hoursTo produce second unit = TN=T1(Nb) T2=1000×(2log2 0.85)=…

Q: According to Accountants cost of production consist of both explicit and implicit cost ---- a) Yes.…

A: According to Accountants cost of production consist of both explicit and implicit cost. This…

Q: What is the explicit and implicit cost? Can explicit or implicit be used for a business or…

A: Cost refers to the sum of money a corporation spends on making or producing products or services.…

Q: What is the difference between implicit and explicit costs? Why do economists include both implicit…

A: Each firm in any industry is driven by profit motive. The goal of a firm is to maximize its sales…

Q: Explain the term Total costs?

A: Any firm main objective is to maximize its profit and for maximizing profits every firm must know…

Q: Explain what a sunk cost is, what an opportunity cost is, and how each cost should be handled when…

A: Sunk cost refers to the cost or the expense that is already made and can be no longer recovered.…

Q: Identify yes or no as to whether or not each of these costs would be relevant for the decision on…

A: Business have two types of cost. fixed and variable fixed cost cannot be shifted and have to be…

Q: What is a sunk cost? Provide an example of a sunk cost other than one from this book. Why are such…

A: Cost refers to the expenses that the firm incurs in the production process of its goods and…

Q: . If economic profit equals accounting profit, what do implicitcosts equal?

A: Basics:- Economic Profit     = Revenue - Explicit Cost - Implicit Cost Accounting Profit  = Revenue…

Q: The of an input is the output per unit of the input

A: Inputs are any resources used in the production of goods and services.  Labor (workers' time), fuel,…

Q: What is the difference between economies of scale andeconomies of scope? How do firms consider these…

A: The concepts of economies of scope and economies of scale explains the situations when the big firms…

Q: Intelligent Inc. specializes in the manufacture ofcomponents for personal computers. Managementhas…

A:

Q: Distinguish between explicit and implicit costs, giving examples of each. What are some explicit and…

A: Cost is the expenditure incurred by firms on the production of goods and services.

Q: Suppose that workmen are assembling a particular product for 40 working hours. Then they work on…

A: Learning curves capture the benefit that arises when workers and organizations get efficient at…

Q: Do you think that someone could be a good systems manager but a poor project manager? What about the…

A: Meaning of Managerial Economics: The term managerial economics refers to the scenario of the…

Q: 1. What is the total cost of the engine? 2. What is the total direct labor cost? 3. What is the…

A:

Q: Differentiate between explicit and implicit costs. Explain the importance of considering both types…

A: Explicit cost: It is the cost that is incurred in running the day-to-day operations of a business…

Q: What are their implications for cost and return?

A: The method of directing capital among savers to organizations that require it is known as finance.

Q: Identify the explicit costs incurred by this business. Why are they explicit costs?

A: Since you have asked multiple questions, we will solve the first question for you. If you want any…

Q: Eduardo has $7,000 in savings. His bank pays 6% interest per year on savings. He withdraws all of…

A: Economic costs = Direct costs + Opportunity cost.

Q: If accounting profit is $400,000 greater than economic profit, what do implicit cost equal?

A: We know that: Accounting profit = Total revenue- Total explicit cost Economic profit = Total revenue…

Q: Define economies of scale

A: Economy of scale is a microeconomic term used as an important element of productivity growth.…

Q: As the marginal physical product of a variable input increases, the marginal cost decreases. a.…

A: The cost of one additional unit of output is known as marginal cost. The concept is used to…

Q: Please explain why the law of diminishing returns applies only in the short-term period.

A: The marginal product is the change in total production brought by hiring one more of the variable…

Q: .Suppose that a business incurred implicit costs of $200,000 and explicit costs of $1 million in a…

A: Accounting profit can be calculated as follows:

Q: What is the economies of scale of General Motors?

A: The advantages of cost which is being obtained by the enterprises being solely due to their scale of…

Q: How would you determine that a two-input Cobb-Douglas production function has decreasing returns to…

A: Answer to the question is as follows :

Q: If the cost of an oven is $500, what is the marginal product per dollar spent on capital for the…

A: Labor and capital are factors of production to produce total product.

Q: if economic profit equals accounting profit, what do implicit cost equal?

A: (Q) If economic profit equals accounting profit, what do implicit cost equal? There are two types of…

Q: a production function exhibits constant returns to scale, average cost will increase as output…

A: Production function, in financial matters, condition that communicates the connection between the…

Q: What are some reasons we might see increasing returns to scale?

A: When the output grows by a higher percentage than the growth in inputs during the manufacturing…

Q: A student once said she 'didn't believe in sunk costs. She meant that the idea that 'some costs are…

A: Sunk cost refers to the costs that has been paid already and cannot be recovered. That means it is…

Q: The cost curve for producing widgets passes through the following points and is piecewise linear in…

A: Incremental cost of production is the increase in total cost due to increase in the production…

Q: How would you determine that a two-input Cobb-Douglas production function has decreasing returns to…

A: Answer to the question is as follows :

Q: What is sunk cost? Provide an example of sunk cost other than one from the book and explain it. Why…

A: Cost is the expenses incurred by a person on acquiring any good or service. It is the payment done…