Aftergraduation, you face a choice. One option is to work for a multinational consulting firm and earn a starting salary(benefits included) of $40,000. The other option is to use $5,000 in savings to start your own consulting firm. You could earn an interest return of 6 percent on your savings. You choose to start your own consulting firm. At the end of the firstyear, you add up all of your expenses and revenues. Your total includes $14,000 inrent, $1,200 in officesupplies, $20,000 for officestaff, and $4,500 in telephone expenses.

1.Your explicit costs are $

2.Your implicit cost are $