Judith is a baker that specializes in baking vegan cookies. Her annual revenue from selling the vegan cookies is $90,000. The annual explicit costs of the materials used to make the cookies are $54,000.
Judith used $5,000 from her personal savings account to buy baking tools for her business. The savings account paid 1% annual interest. Judith could earn $6,000 per year as a math tutor. What is the annual economic profit of her vegan cookie business?
$30,000
$35,950
$36,000
$29,950