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Dane decides to give up a job earning $200,000 per year as a corporate lawyer and converts a duplex he owns into a UFO museum.
Dane decides to give up a job earning $200,000 per year as a corporate lawyer and converts a duplex he owns into a UFO museum. The market rent for a similar duplex is $20,000 a year. He pays wages of $75,000 a year to his assistants and $10,000 a year for utilities. Fans flock to the museum to see his collection of extraterrestrial paraphernalia. Over the course of the year, the museum brings in revenues of $200,000.
Find his accounting profit and his economic profit.
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