1. Definition of economic costs Antonio lives in New York City and runs a business that sells pianos. In an average year, he receives $735,000 in revenue from selling pianos. Of this sales revenue, he must pay the manufacturer a wholesale cost of $435,000; he also pays wages and utility bills totaling $255,000. He owns his showroom; if he chooses to rent it out, he will receive $10,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Antonio does not operate this piano business, he can work as an accountant and receive an annual salary of $24,000 with no additional monetary costs. No other costs are incurred in running this piano business. Identify each of Antonio's costs in the following table as either an implicit cest or an explicit cost of selling pianos. Implicit Cost Explicit Cost The wages and utility bills that Antonio pays The wholesale cost for the pianos that Antonio pays the manufacturer The rental income Antonio could receive if he chose to rent out his showroom o The salary Antonio could earn if he worked as an accountant O Complete the following table by determining Antonio's accounting and economic profit of his piano business. Profit (Dollars) Accounting Profit Economic Profit Alternatively, the economic profit he would earn as an accountant would be $ If Antonio's goal is to maximize his economic profit, he should stay in the piano business. Economic Profit should ild be $ Alternatively, the economic profit he would earn as an ad should not . If Antonio's goal is to maximize his economic profit, he should stay in the piano business