A Young Chef Is Considering Opening His Own Sushi Bar

question 48

Multiple Choice

A young chef is considering opening his own sushi bar.To do so, he would have to quit his current job, which pays $20, 000 a year, and take over a store building he owns and currently rents for $6, 000 a year.His expenses at the sushi bar would be $50, 000 for food and $2, 000 for gas and electricity.What is the minimum revenue he must earn per year in order for it to be worth his while to open his sushi bar?

• A)$26, 000
• B)$66, 000
• C)$78, 000
• D)$52, 000
• E)$72, 000

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Definitions:

Federal Expenditures

The spending by the federal government of a country, typically on public services, defense, welfare programs, and infrastructure.

Transfer Payments

Payments made by the government to individuals without any expectation of a direct return service or goods, such as social security benefits.

Government Expenditures

Spending by the government on goods, services, and projects to fulfill its various functions, such as infrastructure, education, and defense.