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The Table Below Provides the Annual Revenues and Costs for a Family-

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The table below provides the annual revenues and costs for a family- owned firm producing catered meals.  Total Revenues ($) 500000 Total Costs ($)  wages and salaries  risk- free return of 6% on ow ners’ capital of 25000015000 rent 200000 - depreciation of capital equipment 105000 risk premium of 8% on owners’ capital of 25000025000 intermediate inputs 20000 - forgone wages of owners in alternative employment 80000 interest on bank loan 10000\begin{array} { | l | l | } \hline \text { Total Revenues } ( \$ ) & 500000 \\\hline \text { Total Costs } ( \$ ) & \\\hline \text { wages and salaries } & \\\hline \text { risk- free return of } 6 \% \text { on ow ners' capital of } 250000 & 15000 \\\hline \text { rent } & 200000 \\\hline \text { - depreciation of capital equipment } & 105000 \\\hline \text { risk premium of } 8 \% \text { on owners' capital of } 250000 & 25000 \\\hline \text { intermediate inputs } & 20000 \\\hline \text { - forgone wages of owners in alternative employment } & 80000 \\\hline \text { interest on bank loan } & 10000 \\\hline\end{array} TABLE 7- 1
-Refer to Table 7- 1.The implicit costs for this family- owned firm are


A) $115 000.
B) $35 000.
C) $100 000.
D) $80 000.
E) $490 000.

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