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Business, 06.10.2019 06:30 karatekats1

An individual leaves a college faculty, where she was earning $60,000 a year, to begin a new venture. she invests her savings of $45,000, which were earning 6 percent annually. she then spends $25,000 renting office equipment, hires two students at $22,000 a year each, rents office space for $12,000, and has other variable expenses of $40,000. at the end of the year, her revenues are $200,000.

(a) what are her accounting profits for the year?
(b) what are her economic profits for the year?

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