Unformatted text preview: café making an economic profit? Should John stay in the café business? Explain. c. Suppose the cafe’s revenues and expenses stay the same, but John can now earn $1,100 a month elsewhere. Is the café still making an economic profit? Explain. d. Suppose John had not gotten a loan to buy equipment, but had invested his own money. How would your answers to parts a and b change?...
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This note was uploaded on 02/20/2012 for the course ECON 202 taught by Professor Brightwell during the Spring '08 term at Texas A&M.
- Spring '08