Question

a firm had sales revenue of $1 million last year. it spent $600,000 on labor, $150,000 on capital and $200,000 on materials. what was the firm’s accounting profit? group of answer choices $150,000 $100,000 $1 million $50,000

Answer 1

Should be $50,000!

1,000,000 - 600,000 - 200,000 - 150,000 = 50,000