Total (gross) revenues per month 27,000 less explicit costs: Cost of merchandise sold $ 17,000 Wages to cashier, stock, and delivery help 2,500 Rent and utilities 800 Taxes 700 Total explicit costs $ 21,000 Accounting profit (revenue minus explicit costs) 6,000 less implicit costs: Wages of owner-manager, 300 hours @ $10 per hour 3,000 Return on inventory investment, 10% per year on $120,000 1,000 Total implicit costs 4,000 Economic profit (revenue minus all costs) $ 2,000