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Consider the following information about a roofing business Taylor opened last year: Taylor was a manager at Stater Bros, with an annual salary (including benefits)
Consider the following information about a roofing business Taylor opened last year: Taylor was a manager at Stater Bros, with an annual salary (including benefits) of $50,000 per year. Taylor has always been interested in roofing, and decided to switch careers. Each full roof replacement costs an average of $2,500 in materials and $5,000 in labor. The price charged per roof is $10,000. Last year, Taylor's company completed two roofs per month, or a total of 24 roofs in the year. Assuming that all relevant costs and revenue are noted, what was Taylor's accounting profit for the year?
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