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nicole owns a small pottery factory. she can make 1,000 pieces of pottery per year and sell them for 100 each. it costs nicole



nicole owns a small pottery factory. she can make 1,000 pieces of pottery per year and sell them for 100 each. it costs nicole 20,000 for the raw materials to produce the 1,000 pieces of pottery. she has invested 100,000 in her factory and equipment: 50,000 from her savings and 50,000 borrowed at 10 per cent. (assume that she could have loaned her money out at 10 per cent, too.) nicole can work at a competing pottery factory for 40,000 per year. the accounting profit at nicole's pottery factory is 3. O 80000 75000 O 60000 O 55000

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