Question related to budgeting and forecasting

Assignment Help Business Management

Reference no: EM1369580

Question related to Budgeting and Forecasting

Sam quit a $30,000 a year job with a local heating and air conditioning firm to go into business for himself. After his first year in business, his accountant showed him an income statement, which indicated Sam's firm had a profit of $40,000. During this year, Sam drew a salary of $20,000

a. what are Sam's accounting profit and entrepreneurial profit?

b. explain the difference between accounting profit and entrepreneurial profit?

Reference no: EM1369580

Questions Cloud

Write functions to change and display attributes : Write class player which contains attributes for players name,average and team. Write three functions to change and display these attributes.

Description of sociological perspectives : How do the three sociological perspectives differ and Does one make more sense to you than the others? Which one and why?

Depict and upload the combined ppf for these three workers : Depict and upload the combined PPF for these three workers with tea on the horizontal axis and Make sure you label the axes and all significant points of the graph

Calculate equilibrium price and quantity : For each scenario, calculate equilibrium price and quantity, total consumer surplus and total producer surplus.

Question related to budgeting and forecasting : what are Sam's accounting profit and entrepreneurial profit and explain the difference between accounting profit and entrepreneurial profit?

What fraction x of your money should you invest in risky : What fraction x of your money should you invest in risky asset in order to maximize your utility. What happens if A is large.

Create data warehouse for electronics store chain : Create a data warehouse for electronics store chain. Chain has 20 stores in 5 cities. Each store has different sections comprising computers, DVDs, TVs, audio, home appliances etc.

Abnormal spoilage in the current period : Management Accounting - Based on this information how many physical units would be considered abnormal spoilage in the current period?

Create a network design for training environment : Create a network design which accommodates these requirements and keeps costs down. These training environments a maximum of one instructor and 12 students.

User Account

All Pages