The Table Below Provides the Annual Revenues and Costs for a Family-

The table below provides the annual revenues and costs for a family- owned firm producing catered meals. $\begin{array}{|l|l|}\hline \text { Total Revenues }(\$) & 500000 \\\hline & \\\hline \text { Total Costs }(\$) & \\\hline \text { wages and salaries } & 200000 \\\hline \text { risk-free return of } 6 \% \text { on owners' capital of } 250000 & 15000 \\\hline \text { rent } & 105000 \\\hline \text { depreciation of capital equipment } & 25000 \\\hline \text { risk premium of } 8 \% \text { on owners' capital of } 250000 & 20000 \\\hline \text { - intermediate inputs } & 150000 \\\hline \text { forgone wages of owners in alternative employment } & 80000 \\\hline \text { - interest on bank loan } & 10000 \\\hline\end{array}$ TABLE 7- 1
-Refer to Table 7- 1.The explicit costs for this family- owned firm are

A) $605 000.
B) $115 000.
C) $490 000.
D) $500 000.
E) $505 000.