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The following is cost information for the Creamy Crisp Donut Company.
-Entrepreneur's potential earnings as a salaried worker = $50,000
-Annual lease on building = $22,000
-Annual revenue from operations = $380,000
-Payments to workers = $120,000
-Utilities (electricity, water, disposal) costs = $8,000
-Value of Entrepreneur's talent in the next best entrepreneurial activity = $80,0000
-Entrepreneur's forgone interest on personal funds used to finance the business = $6,000
Required:
Refer to the data to calculate Creamy Crisp's accounting profit and economic profit.
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The following is cost information for the Creamy Crisp Donut Company.
-Entrepreneur's potenti...
-Entrepreneur's potenti...
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