Tim Kozlowski owns his own taxi, for which he bought a \($20,000\) permit to operate two years ago. Mr. Kozlowski earns \($37,000\) a year operating as an independent but has the opportunity to sell the taxi and permit for \($75,000\) and take a position as dispatcher for Trenton Taxi Co. The dispatcher position pays \($31,000\) a year for a 40-hour week. Driving his own taxi, Mr. Kozlowski works approximately 55 hours per week. If he sells his business, he will invest the \($75,000\) and can earn a 10 percent return.

Required:

a. Determine the opportunity cost of owning and operating the independent business.

b. Based solely on financial considerations, should Mr. Kozlowski sell the taxi and accept the position as dispatcher?

c. Discuss the qualitative as well as quantitative factors that Mr. Kozlowski should consider.