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FlowersCom Is Earning a Total Revenue of $100,000 Per Year

Question 52

Essay

Flowers.com is earning a total revenue of $100,000 per year. Its annual total fixed costs are
$25,000 and its annual total variable costs are $75,000. What is the operating profit for Flowers.com? What is economic profit?

Correct Answer:

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Operating profit is revenue mi...

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