Assume that a firm's total revenue is $200,000 per year. It pays workers wages of $100,000 per year and buys raw materials of $80,000 per year.

Assume that a firm's total revenue is $200,000 per year. It pays workers wages of $100,000 per year and buys raw materials of $80,000 per year. If the owner has $200,000 invested in this business and could earn 10% by placing this $200,000 in another business, then