Use the table below to answer questions about Benny: Total Revenue Cost of Lemonade Wages Interest $300,000 $11,000 $2,000 $6,000 Benny the Lemonade Guy's forgone wages $80,000 Benny the Lemonade Guy's forgone interest $15,000 Economic depreciation $2,400 Please use dollar signs when answering: What is Benny's economic profit? What are Benny's total explict costs? Which profit is greater, accounting or economic profit?

Principles of Economics 2e
2nd Edition
ISBN:9781947172364
Author:Steven A. Greenlaw; David Shapiro
Publisher:Steven A. Greenlaw; David Shapiro
Chapter6: Consumer Choices
Section: Chapter Questions
Problem 13CTQ: Think back to a purchase that you made recently. How would you describe your thinking before you...
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Use the table below to answer questions about Benny:
Total Revenue
Cost of Lemonade
Wages
Interest
$300,000
$11,000
$2,000
$6,000
Benny the Lemonade Guy's forgone wages $80,000
Benny the Lemonade Guy's forgone interest $15,000
Economic depreciation
$2,400
Please use dollar signs when answering:
What is Benny's economic profit?
What are Benny's total explict costs?
Which profit is greater, accounting or economic profit?
Transcribed Image Text:Use the table below to answer questions about Benny: Total Revenue Cost of Lemonade Wages Interest $300,000 $11,000 $2,000 $6,000 Benny the Lemonade Guy's forgone wages $80,000 Benny the Lemonade Guy's forgone interest $15,000 Economic depreciation $2,400 Please use dollar signs when answering: What is Benny's economic profit? What are Benny's total explict costs? Which profit is greater, accounting or economic profit?
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