Scenario 13-8 Ellie Has Been Working for an Engineering Firm and Earning

question 399

Multiple Choice

Scenario 13-8
Ellie has been working for an engineering firm and earning an annual salary of $80,000. She decides to open her own engineering business. Her annual expenses will include $15,000 for office rent, $3,000 for equipment rental, $1,000 for supplies, $1,200 for utilities, and a $35,000 salary for a secretary/bookkeeper. Ellie will cover her start-up expenses by cashing in a $20,000 certificate of deposit on which she was earning annual interest of $500.
-Refer to Scenario 13-8.According to an economist,which of the following revenue totals will yield Ellie's business $50,000 in economic profits?

• A) $55,200
• B) $100,200
• C) $132,500
• D) $185,700

---

Definitions:

Stethoscope

A medical instrument used for listening to sounds within the body, such as the heartbeat or breathing, essential for diagnoses.

Methodical

Characterized by a systematic, orderly approach to tasks or procedures, often leading to accurate and thorough outcomes.

Auscultating

The act of listening to the internal sounds of the body, typically using a stethoscope, for medical diagnosis.

Fingernails

Hard, flat structures made of keratin at the tips of fingers, serving protective and functional purposes.