Dmitri lives in San Francisco and runs a business that sells guitars. In an average year, he receives $701,000 from selling guitars. Of this sales revenue, he must pay the manufacturer a wholesale cost of $420,000; he also pays wages and utility bills totaling $247,000. He owns his showroom; if he chooses to rent it out, he will receive $9,000 in rent per year. Assume that the value of this showroom does not depreciate over the year. Also, if Dmitri does not operate this guitar business, he can work as a financial advisor, receive an annual salary of $32,000 with no additional monetary costs, and rent out his showroom at the $9,000 per year rate. No other costs are incurred in running this guitar business. Identify each of Dmitri's costs in the following table as either an implicit cost or an explicit cost of selling guitars. Implicit Cost Explicit Cost

The wages and utility bills that Dmitri pays.
The wholesale cost for the guitars that Dmitri pays the
manufacturer.
The rental income Dmitri could receive if he chose to rent
out his showroom.
The salary Dmitri could earn if he worked as a financial
advisor.
Complete the following table by determining Dmitri's accounting and economic profit of his guitar business.
Profit
(Dollars)
Accounting Profit
Economic Profit
If Dmitri's goal is to maximize his economic profit, hestay in the guitar business because the economic profit he would earn as a financial advisor would be.