Suppose that a firm produces 180,000 units a year and sells them all for $12 each. The explicit costs of production are $1,750,000 and the implicit costs of production are $320,000. The firm earns an accounting profit of

Multiple Choice

• $410,000 and an economic profit of $90,000.
• $2,160,000 and an economic profit of $180,000.
• $180,000 and an economic profit of $2,160,000.
• $90,000 and an economic profit of $410,000.