Pat Used to Work as an Aerobics Instructor at the Local

Multiple Choice

Pat used to work as an aerobics instructor at the local gym earning $35,000 a year. Pat quit that job and started working as a personal trainer. Pat makes $50,000 in total annual revenue. Pat's only out-of-pocket costs are $12,000 per year for rent and utilities, $1,000 per year for advertising and $3,000 per year for equipment. Pat's accounting profit is ________, and Pat's economic profit is ________.

A) $50,000; $15,000
B) $34,000; −$1,000
C) $34,000; $15,000
D) $15,000; −$1,000