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Suppose Lando Calrissian Owns a Smuggling Business Whose Total Revenue

Question 104

Multiple Choice

Suppose Lando Calrissian owns a smuggling business whose total revenue is $30,000 per month. The accompanying table shows Lando's monthly expenses. If Lando weren't a smuggler, he would earn $6,000 per month working for the Rebel Alliance. Apart from pay, Lando is indifferent between working as a smuggler and working for the Rebel Alliance.  Fuel $4,000 Mairterarce $12,000 Weapors $6,000 Bribes $3,000\begin{array} { | l | r | } \hline \text { Fuel } & \$ 4,000 \\\hline \text { Mairterarce } & \$ 12,000 \\\hline \text { Weapors } & \$ 6,000 \\\hline \text { Bribes } & \$ 3,000\end{array}  
What is Lando's accounting profit each month?


A) $1,000
B) $5,000
C) −$1,000
D) −$5,000

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