Q 1. An annual income statement from Quest Realty, Inc. is shown below: (A) Revenues Revenue from sales of goods and services. Operating costs and expenses: Cost of products and services sold Selling...

Extracted text: Q 1. An annual income statement from Quest Realty, Inc. is shown below: (A) Revenues Revenue from sales of goods and services. Operating costs and expenses: Cost of products and services sold Selling expenses.. Administrative expense. Total operating costs and expenses S80,000,000 S30,000,000 S3,000,000 $4,000,000 $37.000,000 Income from operations. Interest expense (corporate bonds & loans) Non-recurring expense (Legal expenses fines in settling a federal antitrust suit. Income taxes S43,000,000 S300,000 S200,000 $700.000 Net income. S41,800,000 During this year of operation, Quest Realty owned and occupied an office building in downtown Indianapolis. For this year, the building could have been leased to other businesses for $2,000,000 in lease income. Quest Realty also owned undeveloped land valued at $15,000,000. Owners of Quest Realty can earn a 14% rate of return annually on funds invested elsewhere. Calculate: a) Total explicit costs b) Total implicit costs c) Total economic cost d) Quest's accounting profit e) Economic profit ||