Calculating Accounting and Economic Profits
Jane decided to resign from her current job, at which she earned $58,000 per year. She started her own business using her $100,000 savings on which she was earning 5 % interest. In the first year, her revenue was $150,000 and her costs were as follows: Rent: $25,000 Utilities: $12,000 Wages: $30,000 Materials: $20,