Answer to Question #40618 in Microeconomics for anbreen fatima

Question

suppose charlie brown opens a lemonade stand. he hires linus and lucy for $12 a week($6 each). he rents pitchers and spoons from his mother for $5 a week and spends $20 a week on paper cup,lemons,sugar and other materials.before he opened the stand, he was earning$15 a week selling newspapers. he grosses $72 in revenues a week from lemonade sales. calculate accounting costs, economic costs,accounting profit and economic profit. evaluate how charlies lemonade business is doing.