capital and $162 million on materials. The firm's factory sits on land owned by the firm that could be rented out for $2 million per year. What was the firm's economic profit last year in millions of dollars? (Do not include the word "million" or the dollar symbol in your answer, just a number.)

capital and $162 million on materials. The firm's factory sits on land owned by the firm that could be rented out for $2 million per year. What was the firm's economic profit last year in millions of dollars? (Do not include the word "million" or the dollar symbol in your answer, just a number.)

Exploring Economics

8th Edition

ISBN:9781544336329

Author:Robert L. Sexton

Publisher:Robert L. Sexton

Chapter11: The Firm: Production And Costs

Section: Chapter Questions

Problem 3P

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Question

A firm had sales revenue of $942 million last year.
It spent $463 million on labor, $88 million on
capital and $162 million on materials. The firm's
factory sits on land owned by the firm that could
be rented out for $2 million per year. What was the
firm's economic profit last year in millions of
dollars? (Do not include the word "million" or the
dollar symbol in your answer, just a number.)

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