A normal profit may be defined as
A)the minimum amount of profit required to keep a business operating in the long run.
B)an accounting profit equal to the sum of all opportunity costs.
C)the maximum amount of profit that a business has ever made.
D)economic profit that is equal to accounting profit.
E)accounting profit equal to zero.

Question

Quizplus · Accepted Answer

A normal profit is the minimum amount of profit required to keep a business operating in the long run. It is the level of profit needed for a business to cover all of its costs, including opportunity costs, and to remain viable in the long term. If a business earns only a normal profit, it is not earning any excess profit or economic profit.

A Normal Profit May Be Defined as