Create an Account

Already have account?

Forgot Your Password ?

Home / Questions / Ruth Ginsburg is evaluating two options The first option is to open her own legal practice...

Ruth Ginsburg is evaluating two options The first option is to open her own legal practice Based on her business plan,she computed the following

Ruth Ginsburg is evaluating two options. The first option is to open her own legal practice. Based on her business plan, she computed the following annual estimates using very conservative assumptions: Total revenue = $220,000 Purchases = $80,000 Utility costs = $27,000 Parttime Administrative Assistant = $25,000 Ruth will operate the business by herself. She will operate the business from a building that she owns. The building has been paid in full. The second option is to work for a law firm as a legal associate. Her annual salary would be $64,000. She could also rent her building for $24,000 per year. Using the concepts of accounting profit and economic profit, compare and contrast the two options. Which option is the most profitable for Ruth Ginsburg?

Apr 23 2020 View more View Less

Answer (Solved)

question Subscribe To Get Solution

Related Questions