What is john''s opportunity cost of running the store

Reference no: EM133612272

Question: John is thinking about opening a shoe store. He estimates that it would cost $425,000 per year to rent the location and buy the merchandise. Additionally, he would have to quit his $95,000 salary job as a retail manager. a. What is John's opportunity cost of running the store for a year? b. If John thought he could sell $500,000 worth of merchandise in a year, should he open the store?

Reference no: EM133612272

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