Single-owner proprietorships often unintentionally exaggerate their profits because they
A. look at after-tax instead of pre-tax costs.
B. neglect to consider the opportunity cost of the owner's labor.
C. pay their bills late and therefore incur large interest charges.
D. forget their explicit losses.
Answer: B
You might also like to view...
The market demand for MP3 player is p = 50 - 0.5Q, and the marginal cost for Nick to obtain and sell a MP3 player is $10. If he signed a fixed-fee rental contract with the store owner and pays $1000 as the rent,
A) Nick will sell 20 MP3 players. B) Nick will sell 40 MP3 players. C) Nick will sell 50 MP3 players. D) Nick will not sign the contract.
If your neighbors remove the weeds in their yard and this activity prevents weed seeds from blowing into your yard, the benefit you receive is a public good.
Answer the following statement true (T) or false (F)