A firm's annual report contains the following information: 
What net effect did these accounts have on the cash flow of the firm in 2007?
Definitions:
Average Total Cost
The per-unit cost of production, calculated by dividing the total cost of production by the quantity of output produced.
Economic Profit
The difference between the total revenue generated by a business and the total costs, including both explicit and implicit costs.
Short-run Marginal Cost Curve
A curve that shows the change in total cost associated with producing one more unit of output in the short term.
Diminishing Marginal Returns
A principle that states as additional units of a variable input are added to fixed inputs, the additional output produced from each new unit eventually decreases.
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