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Business, 14.07.2019 04:00 jenorajordan5387

After graduation, you face a choice. you can work for a multinational consulting firm and earn a starting salary (benefits included) of $40,000, or you can start your own consulting firm using $5,000 of your savings, which you otherwise would have earned an interest return of 7 percent on. you choose to start your own consulting firm. at the end of the first year, you add up all of your expenses and revenues. your expenses include $14,000 in rent, $1,000 in office supplies, $24,000 for office staff, and $4,500 in telephone expenses. after operating your consulting firm for a year, your total revenues are $88,000. instructions: enter your answers as whole numbers. a. calculate your accounting profit. $ b. calculate your economic profit.

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