Let us suppose an economy comprised of three firms: Steel Co…
Let us suppose an economy comprised of three firms: Steel Company, Lobster Company, and Car Company. The transactions are as follows: Steel Company Revenue from sales $400 Expenses from wages $340 Profits $60 Lobster Company Revenue from sales $200 Expenses from wages $160 Profits $40 Car Company Revenue from sales $1,000 Expenses Wages $500 Steel purchases $400 Profits $100 Which of the following is correct?