Jesse owns a shop called J's Select Store in Wisconsin.    During the first year of operation, J's Select Store incurred many costs. In that year, Jesse spent  $5,000 on labor, $2,000 on maintenance, and $1,000 on electricity. Jesse also put in her own money in the business, in which she would have earned $1,500 interests if she put that money in the bank, and her previous job, which she could get back at any time, paid her $50,000. a) If J's Select Store received $80,000 in revenues, what were the economics profits?  b)  If J's Select Store received $70,000 in revenues, what were the accounting profits?

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Jesse owns a shop called J's Select Store in Wisconsin.  

 During the first year of operation, J's Select Store incurred many costs. In that year, Jesse spent 
$5,000 on labor, $2,000 on maintenance, and $1,000 on electricity. Jesse also put in her own money in the business, in which she would have earned $1,500 interests if she put that money in the bank, and her previous job, which she could get back at any time, paid her $50,000.

a) If J's Select Store received $80,000 in revenues, what were the economics profits? 

b)  If J's Select Store received $70,000 in revenues, what were the accounting profits? 

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