Q3

If you have SAR 50,000 to start a new business, you can earn 10 percent interest on money in a bank account.Your business expenses areSAR 22,000 per year on rent,SAR 18,000 per year on supplies, andSAR 5,000 per year on part time help. As for your personal expenses, your apartment costs youSAR 12,000 per year and your personal bills are an extraSAR 6,000 per year. What is your opportunity cost of running the business?(4 marks)