-From the table above,it is clear that
A) accounting for opportunity costs increases profitability.
B) if accounting profit is positive,economic profit will also be positive.
C) if economic profit is negative,accounting profit will also be negative.
D) if accounting profit is zero,economic profit must be negative.
E) if accounting profit is positive,economic profit will be negative.

Question

-From the table above,it is clear that
A) accounting for opportunity costs increases profitability. 
B) if accounting profit is positive,economic profit will also be positive. 
C) if economic profit is negative,accounting profit will also be negative. 
D) if accounting profit is zero,economic profit must be negative. 
E) if accounting profit is positive,economic profit will be negative.

Quizplus · Accepted Answer

If accounting profit is zero, economic profit must be negative because economic profit accounts for opportunity costs, which would reduce the profit further.

-From the Table Above,it Is Clear That