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Consider the star to which the arrow points. Which of the following statements about this star is not true?
Economic Profit
Profit calculated by subtracting both explicit (direct) and implicit (indirect or opportunity) costs from total revenues.
Economic Profit
The profit a company makes after deducting both explicit (direct payments) and implicit (opportunity) costs.
Normal Profit
Normal profit is the minimum level of profit needed for a company to remain competitive in the market, equivalent to the opportunity cost of capital.
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