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You quit your job that pays $60,000 in order to open your own business. If your total revenue is $80,000, rent is $10,000, an
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Answer #1

Ans: a ) - $10,000

Explanation:

Economic Profit = Total Revenue - Implicit cost - Explicit Cost

= $80,000 - $60,000 - ( $10,000 + $20,000)

= $80,000 - $60,000 - $30,000

= - $10,000

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