Gerald, a Certified Public Accountant, Informs His Client, Simon, a Small

Multiple Choice

Gerald, a certified public accountant, informs his client, Simon, a small business owner, that Simon's production expenses for the last year were $40,000. Revenues were $100,000. Simon gave up a job that paid $70,000 to open his business. What is Simon's economic profit or loss?

A) $40,000
B) $60,000
C) $70,000
D) -$10,000