Reference no: EM132227752

Ari runs a shoeshine stand at the airport. Ari has no skills, no job experience, and no alternative employment.

Entrepreneurs in the shoeshine stand business earn $14,000 a year.

Ari pays the rent of $1,000 a year, and his total revenue is $12,000 a year.

He borrowed a $600 at 20 percent a year to buy equipment.

At the end of one year, Ari was offered $200 for his business and all its equipment.

Ari's explicit costs are $__

Ari's implicit costs are $__

Ari's economic profit in the first year is ___ dollars