Craig Quit a Job Earning $12,000 Per Year to Open

Short Answer

Craig quit a job earning $12,000 per year to open his own lawn-care service. Yesterday, he was offered a job earning $20,000 per year at Home Depot, but he turned it down to continue running his lawn-care service. Assuming that his total revenue (= P × Q) has not changed, (a) explain the impact of this job offer on Craig's economic profit, and (b) explain the impact of this job offer on his normal profit.