C) Double taxation (股东还要再交一次)37.Economic profit (不同于accounting profit)can be calculated as C) total revenue - explicit costs - implicit costs.38.The most common type of firm in the United States is the B) proprietorship.(独资企业) 39.Corporations account for B) the largest prop...
The correct answer is:a. always less than accounting profit Economic profit is calculated as: {eq}\text{Economic profit}=\text{Total...
Question: Economists define economic profit as: a. total revenue - total cost b. marginal cost- total revenue c. average cost - average fixed cost d. none of the above Profits: Profits can be identified as the leftover money w...
Economic value added (EVA®) is calculated as net operating profit after taxes minus:A. a charge for equity capital.B. capital expenditures.C. a charge for total capital. 正确答案:C 分享到: 答案解析: EVA = NOPAT – (C% × TC), where NOPAT is a firm’s net operating profit after...
What are the Differences Between Accounting Profit and Economic Profit? Accounting profit and economic profit are different performance measures used for different reasons and by different users. However, both are used as types of performance metrics. Accounting profit is calculated by taking all of th...
As you can see, Project #2 generates a positive economic profit, relative to Project #1. Learn more in CFI’sFinancial Modeling Courses. Additional Resources Thank you for reading CFI’s guide to Accounting Profit vs Economic Profit. These additional CFI resources will be helpful: ...
In a temporary account on the investment hold, before the investment profit, calculated EVA does not consider temporary account for capital expenditure. In the meantime, the temporary accounts of the funds cost is simply the accumulation of cumulative numbers reflect all the opportunity cost of ...
Profits are calculated in two ways, i.e., accounting profit and economic profit. It means profits calculated from the the point of view of an accountant is called accounting profit and profits calculated from the the point of view of an econ...
Economic ProfitAccounting Profit A theoretical financial figure based on assumptionsActual profit (net income) is determined Isn't part of financial statements or reportedCalculated according toGAAPand reported to IRS Used for internal analysisUsed by investors to analyze a potential investment ...
In other words; the economic profit would consider how much more or less profit would have been generated (by using the company's resources) had management chosen Project B. Economic profit is based on theoretical principles while accounting profit uses accounting principles. As such, a...