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The following is cost and revenue information for Pasquale's Pizza Parlor. Entrepreneur's potential earnings as a salaried worker = $ 4 2 , 0 0

The following is cost and revenue information for Pasquale's Pizza Parlor.
Entrepreneur's potential earnings as a salaried worker = $42,000
Annual lease on building = $30,000
Payments to raw material suppliers = $52,000
Annual revenue from operations = $402,000
Payments to workers = $182,000
Utilities (electricity, water, disposal) costs = $14,000
Value of entrepreneur's talent in the next best entrepreneurial activity = $62,000
Entrepreneur's forgone interest on personal funds used to finance the business = $7,000
Pasquale's accounting profit is
Multiple Choice
$275,000.
$124,000.
$30,000.
$110,000.

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