Which of the following statements is FALSE?
A) A correct measure of a firm's economic cost includes both accounting and opportunity cost.
B) The accounting profit earned by a firm will always be less than its economic profit.
C) The major difference between accounting and economic profit is that accounting profit does not reflect the opportunity cost of using resources.
D) The accounting profit of a firm is its total revenue minus total explicit costs.
B
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In equilibrium, if both covered interest parity and uncovered interest parity hold, the expected future spot rate is equal to
A) the current spot rate B) the expected forward rate C) the future spot rate D) the current forward rate
The government of Silverado raises revenue to operate the city's hospital, open to all residents, through a general income tax paid by its residents. This method of raising revenue is consistent with the benefits-received principle
Indicate whether the statement is true or false