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When accounting profits are negative, economic profits
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22 votes
22 votes
When accounting profits are negative, economic profits

User Mukund Samant
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1 Answer

21 votes
21 votes

Answer:

will be negative is the answer to this question

Step-by-step explanation:

Accounting profits take into account only implicit costs while economic profit takes both implicit as well as explicit costs and if accounting profits are negative with only implicit costs, economic profit will be more negative as more amount of costs are subtracted from it.

User MadsVJ
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