Samantha has been working for a law firm and earning an annual salary of $80,000. She decides to openher own practice. Her annual expenses will include $15,000 for office rent, $3,000 for equipment rental,$1,000 for supplies, $1,200 for utilities, and a $35,000 salary for a secretary/bookkeeper. Samantha willcover her start-up expenses by cashing in a $20,000 certificate of deposit on which she was earningannual interest of $500. 6. Refer to above Scenario. According to an economist, which of the following total revenue will yieldSamantha's business $50,000 in economic profits?$55,200.$105.200.$132,500.$185,700.a.b.C.d.Answer:

6) Economic profits= Total revenue- explicit costs- implicit costs Explicit costs are the costs…

6. Refer to above Scenario. According to an economist, which of the following total revenue will yield Samantha's business $50,000 in economic profits? $55,200. $105 200. $132,500. d. a. b. C. $185 700. Answer:

6. Refer to above Scenario. According to an economist, which of the following total revenue will yield Samantha's business $50,000 in economic profits? $55,200. $105 200. $132,500. d. a. b. C. $185 700. Answer:

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

100%

Samantha has been working for a law firm and earning an annual salary of $80,000. She decides to open
her own practice. Her annual expenses will include $15,000 for office rent, $3,000 for equipment rental,
$1,000 for supplies, $1,200 for utilities, and a $35,000 salary for a secretary/bookkeeper. Samantha will
cover her start-up expenses by cashing in a $20,000 certificate of deposit on which she was earning
annual interest of $500.

6. Refer to above Scenario. According to an economist, which of the following total revenue will yield
Samantha's business $50,000 in economic profits?
$55,200.
$105.200.
$132,500.
$185,700.
a.
b.
C.
d.
Answer:

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