As the manager of a jeans manufacturing company, you have been tasked to determine the financial well$-$being of your company.

The accounting department has worked up the following figures for the year just ended:

Price per pair of jeans $$35\mathrm{.}00$

Number of pairs of jeans sold $170,000$ pair

Utilities expense $$245,000$

Telephone expense $$15,000$

Accounting depreciation $$38,000$

Wages paid to employees $$270,000$

Materials expense $$380,000$

Total of owner's money invested in the company $$1,000,000$

Economic depreciation $$45,000$

Current market interest rate $2$ percent

Owner$$s normal profit estimate $$60,000$

Forgone job owner could have worked at Levi's $$75,000$

a$)$ Calculate the accounting profit for the business.

b$)$ Calculate the economic profit for the business.