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ECONOMICS MCQ- JUNE 2007 P3 Q 10

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10 The table shows data for an owner-managed firm for a particular year.
$
total revenue 250 000
raw material costs 30 000
wages and salaries 110 000
salary that the owner could have
earned elsewhere
40 000
interest paid on bank loan 30 000
interest forgone on owner's capital 50 000
What is the firm’s profit according to an economist?
A –$10 000 B $40 000 C $80 000 D $100 000
 
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