questions
2) (10 Points) Assume that you have $1,000,000 and practicing the following investing opportunity in portfolio of stocks and bonds that earns 12% yearly. Further assume that you consider owning a small industrial firm by investing $1,000,000 that earns a yearly profit of $200,000. o Calculate explicit, implicit, and opportunity costs as well as business, accounting, and economic profits of owning this small industrial firm. o Do you think that this is an economically feasible investment? Why?
Answer the above 2) (10 Points) Assume that you have $1,000,000 and practicing the following investing opportunity in portfolio of stocks
-
- Site Admin
- Posts: 899603
- Joined: Mon Aug 02, 2021 8:13 am