Homework answers / question archive / Answer the next two questions (a and b) based on this info: for Kaifa Donut Company, he works at his own Donut company but his potential earnings as a salaried worker elsewhere is $50,000, he incurred the following expenses during the year: rent is $22,000, wages to workers is $120,000, utilities is $8,000, Revenue is $380,000, potential economic profit from the next best entrepreneur activity is $80,000 and potential foregone interest on his personal savings used to finance the business is $6,000 a

Answer the next two questions (a and b) based on this info: for Kaifa Donut Company, he works at his own Donut company but his potential earnings as a salaried worker elsewhere is $50,000, he incurred the following expenses during the year: rent is $22,000, wages to workers is $120,000, utilities is $8,000, Revenue is $380,000, potential economic profit from the next best entrepreneur activity is $80,000 and potential foregone interest on his personal savings used to finance the business is $6,000 a

Economics

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Answer the next two questions (a and b) based on this info: for Kaifa Donut Company, he works at his own Donut company but his potential earnings as a salaried worker elsewhere is $50,000, he incurred the following expenses during the year: rent is $22,000, wages to workers is $120,000, utilities is $8,000, Revenue is $380,000, potential economic profit from the next best entrepreneur activity is $80,000 and potential foregone interest on his personal savings used to finance the business is $6,000

a. what is the accounting profit

b. what is the economic profit