We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Central Role of Economic Profit - Essay Example

Comments (0)
Summary
To understand this, a case study involves a theater that has seating for 1,200 people. For the past days, tickets have been sold out since they were affordable, cost $ 5 per ticket. The manager would like to increase tickets…
Download full paper
GRAB THE BEST PAPER
Central Role of Economic Profit
Read TextPreview

Extract of sample
Central Role of Economic Profit

Download file to see previous pages... As an outcome, one can have a considerable accounting profit with slight to no economic profit. In the case scenario, cost of preparing tickets and preparing the theater could be price of input and the ticket sale is the revenue.
Reduction in sale of tickets will reduce with increase of prices. The business could continue to make accounting profit; however, this may not sustain the business for long. Economic profit role is to ensure that resources are directed toward the practices that generate the most profit. Profit is a sign that the clients of that service or good want more of it (Malloy, 2004). The action of manager would not generate the most profit out of the theater due to decrease in attendance. If the prices are doubled and attendance reduce by more than a half due to other factors like immediate competitors then the business would ...Download file to see next pagesRead More
Comments (0)
Click to create a comment or rate a document
CHECK THESE SAMPLES - THEY ALSO FIT YOUR TOPIC
Economic
The third section is an illustration of the implication that an oligopolistic banking sector is likely to have over the residents of a nation. The fourth section depicts the situation in Australia where nationals have been immensely protesting against the oligopolistic banking sector and finally the last section summarises the contents of the entire paper.
10 Pages(2500 words)Essay
Mortgage Backed Securities and their role in the economic crisis
MBS are loans that are normally purchased from mortgage companies, banks and originators and then they are assembled into groups by a private entity, a governmental or a quasi governmental. The securities are then offered by the entity. These securities are offered in a process called securitization
4 Pages(1000 words)Essay
Microeconomics: Economic rent, profit payments and interest
Many economists consider these payments as vital in attracting new resources and setting up a business. These payments play special part in coordination of these resources. Most of the times these payment perform their function efficiently, but sometimes they do not perform the functions well, when theses resources deem monetary motives as secondary and are working for some other aim for e.g.
2 Pages(500 words)Essay
For-Profit Healthcare Organization
If this law is passed it will require the physicians to reveal their relationship with profit making medicine organization. While it is clear that many doctors are receiving a lot of money from pharmaceutical companies, most consumers are unaware of how much these physicians are getting.
4 Pages(1000 words)Essay
Role of Central Banks
As in most other developed countries, monetary policy operates in the UK mainly through influencing the price of money, that is, the interest rate. In May 1997 the Government gave the Bank independence to set monetary policy by deciding the level of interest rates to meet the Government's inflation target.
11 Pages(2750 words)Essay
Obesity in Texas
many states; however in Texas, which demonstrates percentages of both obese children and adults higher than national averages, childhood obesity presents a particular problem (TDSHS 2010). Analysis of this issue is important for health care providers, educators, and parents as
3 Pages(750 words)Research Paper
Discuss the key roles of the central bank in an economy. Should central banks be independent
Countries have one chief institution that deals with regulations and flow of money, which is crucial in the economy. Government’s hand in economy is thus felt by the central institution that
10 Pages(2500 words)Essay
Economic Profit
When a new technology makes another one obsolete in terms of economic profit, a firm such as Firm B which uses the new technology will incur less explicit and implicit costs while making its products and services more effective and efficient. This attracts more customers
1 Pages(250 words)Essay
Central banks
The central bank also supervises the banking system of commercial banks that do function in its economy so as to monitor the money supply in the economy. Unlike commercial banks, the
6 Pages(1500 words)Essay
Let us find you another Essay on topic Central Role of Economic Profit for FREE!
Contact us:
+16312120006
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us