Economic profit is the difference between a firm's total revenue and its accounting costs.

Name: Economic profit is the difference between a firm's total revenue and its accounting costs.
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Economic profit takes into account not only accounting costs but also opportunity costs, including the cost of the owner's time and the cost of capital. Therefore, economic profit is the difference between total revenue and total economic costs, which include both accounting and opportunity costs.

Economic Profit Is the Difference Between a Firm's Total Revenue