In this segment of the course, we have looked at cases of bookkeeping profit and opportunity cost.

a)the bookkeeping profit is greater than the opportunity cost,

b)the bookkeeping profit is less than the opportunity cost but more than zero, and

c)the bookkeeping profit is equal to the opportunity cost.

**"Bookkeeping Profit" is calculated using only Explicit Fixed Costs, and does not include Implicit Fixed Costs.

Please answer these questions with full and clear explanations.You may wish to (but don't have to) illustrate your answers with simple numerical examples.

If the Bookkeeping Profit is less than the Opportunity Cost but more than zero, what is happening now and what is likely to happen in the future?