Harvey quit his job at state university where he earned $45,000 a year. he figures his entrepreneurial talent or foregone entrepreneurial income to be $5,000 a year. to start the business, he cashed in $100,000 in bonds that earned 10 percent interest annually to buy a software company, extreme gaming. in the first year, the firm sold 11,000 units of software at $75 for each unit. of the $75 per unit, $55 goes for the costs of production, packaging, marketing, employee wages and benefits, and rent on a building.
refer to the above information. the implicit costs of harvey's firm in the first year were:
a. $50,000
b. $60,000
c. $100,000
d. $150,000

b. $60,000

Explanation:

Implicit cost is the cost which is not shown as a cost in the statement of income.

As it includes basically the opportunity cost.

This will include:

Salary foregone = $45,000

Entrepreneurial skills income = $5,000

Interest on bonds foregone = $100,000 10% = $10,000

Thus, total implicit cost = $45,000 + $5,000 + $10,000 = $60,000

the answer is either "loser" or "dumb*ss"

gods, i'm only joking, don't ban me.*

odd consecutive integers are odd integers that follow each other. they have a difference of 2 between every two numbers. if n is an odd integer, then n, n+2, n+4 and n+6 will be odd consecutive integers. the first number in the pattern is always the variable on its own or in this case, "n". examples.