Any return above the normal profit to an entrepreneur is known as
A) opportunity cost
B) extra-normal profit
C) free lunch

Question

Quizplus · Accepted Answer

Any return above the normal profit is called extra-normal profit. This additional profit is earned by entrepreneurs who take on greater risks, innovate, and create a unique business model. Opportunity cost refers to the cost of choosing one option over another, while "free lunch" is a term used to describe a reward or benefit without any work or cost involved. Therefore, option B is the best choice.

Any Return Above the Normal Profit to an Entrepreneur Is