Ciara has been working for a government department and earning an annual salary of 80,000. She decides to leave and open her own consultancy business. Her annual expenses will include 15,000 for office rent, 3,000 for equipment rental, 2,000 for supplies, 3,000 for utilities, and a 40,000 salary for an office administrator. Ciara will cover some expenses by using her savings of 20,000 on which she was earning annual interest of 1,000. Annually, Ciara pays herself the difference between revenue and expenses.

Ciara's implicit cost in the first year of setting up her own practice is

Select one:

a.Not enough information to determine

b.143,000

c.164,000

d.80,100

e.163,000