Jose has a job making furniture. He is paid $40,000 a year. He is thinking about quiting his job to start his own business. His business would have revenue of $90,000 a year, and expenses of $60,000 a year Will he gain by making this change in his life? O Yes, he will gain because $90,000 is more than $40,000 O No, he will lose, because after he pays his expenses he would have a profit of only $30,000, which is less than the $40,000 he is paid working O We cannot know if he would gain or not, because we do not know the inflation rate O it does not matter if Jose gains or not. The only thing that matters is his feelings

Jose has a job making furniture. He is paid $40,000 a year. He is thinking about quiting his job to start his own business. His business would have revenue of $90,000 a year, and expenses of $60,000 a year Will he gain by making this change in his life? O Yes, he will gain because $90,000 is more than $40,000 O No, he will lose, because after he pays his expenses he would have a profit of only $30,000, which is less than the $40,000 he is paid working O We cannot know if he would gain or not, because we do not know the inflation rate O it does not matter if Jose gains or not. The only thing that matters is his feelings

Principles of Economics 2e

2nd Edition

ISBN:9781947172364

Author:Steven A. Greenlaw; David Shapiro

Publisher:Steven A. Greenlaw; David Shapiro

Chapter7: Production, Costs, And Industry Structure

Section: Chapter Questions

Problem 39P: A firm is considering an investment that will earn a 6 rate of return. If it were to borrow the...

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