you have been working as a manager of a fashion store. You saved 50,000 and you decided to use the money to start your own business, You decided to use the money you saved to buy materials, you als decided to utilize a store you own to home your business. The store you used for your business could have been rented for 8,000 a year. You hired a clerk to help you in the store that will cost you 20,000 per year. The interest you could have earned on the 50,000 you used to buy the materials was 3,000 per year. Futhermore, you decided to manage your own business and you decided to quit your job that was paying 28,000 per year . You paid 8,000 for utility. What is yor explicit cost? Assume that your total sale for the year was 160,000. What is your implicit cost, what is the accounting profit? what is your economic profit?
you have been working as a manager of a fashion store. You saved 50,000 and you decided to use the money to start your own business, You decided to use the money you saved to buy materials, you als decided to utilize a store you own to home your business. The store you used for your business could have been rented for 8,000 a year. You hired a clerk to help you in the store that will cost you 20,000 per year. The interest you could have earned on the 50,000 you used to buy the materials was 3,000 per year. Futhermore, you decided to manage your own business and you decided to quit your job that was paying 28,000 per year . You paid 8,000 for utility. What is yor explicit cost? Assume that your total sale for the year was 160,000. What is your implicit cost, what is the accounting profit? what is your economic profit?
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