How do economists and accountants view profit differently? Which statement is true?
1) Economists consider profit as a reward for risk-taking, while accountants view it as the excess of revenue over expenses.
2) Economists view profit as the difference between total revenue and total cost, while accountants see it as the increase in owner's equity.
3) Economists focus on the long-term profitability of a business, while accountants focus on the short-term financial performance.
4) Economists analyze profit in relation to market conditions, while accountants analyze it in relation to financial statements.