Question
Joe's Catering is owned by Joe Minsky. The financial information of Joe's Catering in 2019 showed the following revenues and costs: Revenues - $500,000 Supplies
Joe's Catering is owned by Joe Minsky. The financial information of Joe's Catering in 2019 showed the following revenues and costs:
- Revenues - $500,000
- Supplies - $150,000
- Electricity and water - $15,000
- Employee salaries - $50,000
- Dan's salary - $60,000
Dan has always had the option of closing his catering business and renting out his building for $100,000 per year. In addition, Dan currently has job offers from another catering company (offering a salary of $45,000 per year) and a high-end restaurant (at a salary of $75,000 per year). Dan can only work one job at any time.What is Joe's Catering's economic profit?
| a. | $225,000 | |
| b. | $310,000 | |
| c. | $110,000 | |
| d. | $285,000 |
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How Social Forces Impact The Economy
Authors: Steven Pressman
1st Edition
1000062899, 9781000062892
