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Calculate the ochoas annual economic profit

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Question - The Ochoas are opening up a smoothie shop. Mr. Ochoa is giving up his real estate position making $90,000 a year and Mrs. Ochoa did not work outside of the home prior to the opening of the smoothie shop. The Ochoas are renting a building in a strip mall for $22,000 per year. They anticipate spending an average of $18,000 on ingredients and appliances each year, and they anticipate revenue of $230,000 a year once they are established. Calculate the Ochoas' annual economic profit.

Reference no: EM133148117

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