Harvey quit his job at state university where he earned $45,000 a year. he figures his entrepreneurial talent or foregone entrepreneurial income to be $5,000 a year. to start the business, he cashed in $100,000 in bonds that earned 10 percent interest annually to buy a software company, extreme gaming. in the first year, the firm sold 11,000 units of software at $75 for each unit. of the $75 per unit, $55 goes for the costs of production, packaging, marketing, employee wages and benefits, and rent on a building.
refer to the above information. the implicit costs of harvey's firm in the first year were:
a. $50,000
b. $60,000
c. $100,000
d. $150,000