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An individual leaves a college​ faculty, where she was earning ​$50,000 a​ year, to begin a new venture.

She invests her savings of ​$40,000​, which were earning 6 percent annually. She then spends ​$25,000 renting office​ equipment, hires two students at ​$18,000 a year​ each, rents office space for ​$12,000​, and has other variable expenses of ​$38,000. At the end of the​ year, her revenues are ​$225,000.

1.Her accounting profit is ​$

2.economic profit is $


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