Use the table below to answer questions about Benny: Total Revenue Cost of Lemonade Wages Interest $300,000 $11,000 $2,000 $6,000 Benny the Lemonade Guy's forgone wages $80,000 Benny the Lemonade Guy's forgone interest $15,000 Economic depreciation $2,400 Please use dollar signs when answering: What is Benny's economic profit? What are Benny's total explict costs? Which profit is greater, accounting or economic profit?

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Use the table below to answer questions about Benny:
Total Revenue
Cost of Lemonade
Wages
Interest
$300,000
$11,000
$2,000
$6,000
Benny the Lemonade Guy's forgone wages $80,000
Benny the Lemonade Guy's forgone interest $15,000
Economic depreciation
$2,400
Please use dollar signs when answering:
What is Benny's economic profit?
What are Benny's total explict costs?
Which profit is greater, accounting or economic profit?
Transcribed Image Text:Use the table below to answer questions about Benny: Total Revenue Cost of Lemonade Wages Interest $300,000 $11,000 $2,000 $6,000 Benny the Lemonade Guy's forgone wages $80,000 Benny the Lemonade Guy's forgone interest $15,000 Economic depreciation $2,400 Please use dollar signs when answering: What is Benny's economic profit? What are Benny's total explict costs? Which profit is greater, accounting or economic profit?
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