11.An owner of a local convenience store has put $300,000 into his business. Before starting his business, he was working in a restaurant. His annual salary was $25,000 per year.Savings accounts are currently paying 5% annual interest. The owner's total annual sales from the business are $60,000. His annual expenses are merchandise ($3000), rent ($1000), insurance ($500), and advertising ($200).

a.What is his annual accounting profit?

b.What is his annual economic profit?

c.Should this owner continue with his convenience store business?

d.Is it possible for a firm to incur an economic loss and earn an accounting profit at the same time? Explain.