Nancy Owns and Operates a Drug Store That Generates Total

Question 78
Multiple Choice

Nancy owns and operates a drug store that generates total revenues worth $30 million in a particular year. Her accounting costs for the year are $25 million. She could have earned $3 million in this year, if she had worked as a consultant for a pharmaceutical firm. Further, she could have earned 5 percent interest on $40 million of her own money that she invests in the business this year. Nancy's accounting profit in this year is _____ and her economic profit is _____. A)$5 million; zero B)$5 million; $3 million C)$5 million; $8 million D)zero; $3 million E)$3 million; $43 million