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He stopped renting his cottage for $ 3 , 5 0 0 a year and used it as his factory. The market value of the
He stopped renting his cottage for $ a year and used it as his factory. The market value of the cottage increased from $ to $
He spent $ on materials, phone, etc.
He leased machines for $ a year.
He paid $ in wages.
He used $ from his savings account, which earns percent interest per year.
He borrowed $ at percent a year.
He sold $ worth of bodyboards.
Normal profit is $ a year.
Calculate Lee's opportunity cost of production and his economic profit.
Lee's accountant recorded the depreciation on his cottage during as $ According to the accountant, what profit did Lee make?
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