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Yolanda works as a demographer at Statistics Canada, where she earns $80,000 per year. She's considering starting a commercial forecasting business, in which she expects

Yolanda works as a demographer at Statistics Canada, where she earns $80,000 per year. She's considering starting a commercial forecasting business, in which she expects to earn revenue of $300,000 per year, though she will have to pay for a staff, office rent, and other variable costs, so that her explicit financial costs will be $200,000 per year. To set up her office, she would pull $200,000 from a mutual fund, forgoing the 8% returns per year she has been experiencing in recent years. Given Yolanda's accounting profit and her implicit opportunity cost, her economic profits would be , so she start the forecasting business. Question 29 options: 


$84,000; should


−$16,000; should not


−$4,000; should not 


$4,000; should

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