If Amit's Curry House took in $35 000 in revenue last week and had out-of-pocket expenses of $31 500, which of the following best describes Amit's profits last week? Amit really did NOT make any profit since he needs to put the difference between revenue and out-of-pocket expenses back into the firm. Amit made an economic profit of $3500. It is NOT clear whether Amit earned any profit last week because it depends on the magnitude of the implicit costs. Amit did NOT earn an economic profit.
If Amit's Curry House took in $35 000 in revenue last week and had out-of-pocket expenses of $31 500, which of the following best describes Amit's profits last week? Amit really did NOT make any profit since he needs to put the difference between revenue and out-of-pocket expenses back into the firm. Amit made an economic profit of $3500. It is NOT clear whether Amit earned any profit last week because it depends on the magnitude of the implicit costs. Amit did NOT earn an economic profit.
Chapter23: Profit Maximization
Section: Chapter Questions
Problem 3E
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![If Amit's Curry House took in $35 000 in revenue last week and had out-of-pocket expenses of $31 500, which of the
following best describes Amit's profits last week?
Amit really did NOT make any profit since he needs to put the difference between revenue and out-of-pocket
expenses back into the firm.
Amit made an economic profit of $3500.
It is NOT clear whether Amit earned any profit last week because it depends on the magnitude of the implicit
costs.
Amit did NOT earn an economic profit.](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F53b3b067-485c-41f7-a4d0-4f945e4b9891%2Fb14b9465-8d9d-423e-b98d-34e7c5be3b17%2Fh8v5wu5_processed.jpeg&w=3840&q=75)
Transcribed Image Text:If Amit's Curry House took in $35 000 in revenue last week and had out-of-pocket expenses of $31 500, which of the
following best describes Amit's profits last week?
Amit really did NOT make any profit since he needs to put the difference between revenue and out-of-pocket
expenses back into the firm.
Amit made an economic profit of $3500.
It is NOT clear whether Amit earned any profit last week because it depends on the magnitude of the implicit
costs.
Amit did NOT earn an economic profit.
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