(Solved): Tom quits his job where he was making $40,000/year. He used $200,000 from his own savings to buy the ...

Tom quits his job where he was making $40,000/year. He used $200,000 from his own savings to buy the necessary equipment to open a business. The interest he was earning on his savings was 7%/year. His expenses during the year are$40,000 for supplies, $100,000 for salaries and 30,000 for rent. Total Revenues at the end of the year are $254,000. Accounting Profit equals