Business, 24.06.2019 16:00, birdman6360
Teresa has a shoe factory. she owns the building that the factory is in. if she rented it out rather than using it to produce shoes she could get $150,000 per year in rent. teresa has labor costs of $100,000 per year and raw materials cost her $250,000 per year. she pays $75,000 in advertising each year. if teresa was not producing shoes she could work as a manage at the nike factory and make $80,000 per year. teresa used up her savings to start the shoe factory forgoing $30,000 in interest. what are the explicit costs of this factory what are the implicit costs? if teresa has total revenue of $500,000, what is the accounting profit? if teresa has total revenue of $500,000, what is the economic profit? if teresa was a rational producer, should she continue producing shoes? why or why not?
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Teresa has a shoe factory. she owns the building that the factory is in. if she rented it out rather...
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