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

Multiple Choice

The table below provides the annual revenues and costs for a family- owned firm producing catered meals. $\begin{array}{|l|l|}\hline \text { Total Revenues }(\$) & 500,000 \\\hline & \\\hline \text { Total Costs (\$) } & \\\hline \text { wages and salaries } & 200,000 \\\hline \text { risk- free return of } 6 \% \text { on owners' capital of } 250,000 & 15,000 \\\hline \text { rent } & 105,000 \\\hline \text { - depreciation of capital equipment } & 25,000 \\\hline \text { risk premium of } 8 \% \text { on owners' capital of } 250,000 & 20,000 \\\hline \text { - intermediate inputs } & 150,000 \\\hline \text { forgone wages of owners in alternative employment } & 80,000 \\\hline \text { interest on bank loan } & 10,000 \\\hline\end{array}$
$\text { TABLE 7- } 1$
-Refer to Table 7- 1. To an accountant, this family- owned catering company is earning .To an economist, the same firm is earning _ .

A) zero profit; economic losses
B) zero profit; normal profits
C) economic profits; economic losses
D) economic profits; economic profits
E) positive profits; economic losses