Luis quits his job as an airline pilot and opens his own pilot training school. He was earning $40,000 as a pilot. He withdraws $10,000 from his savings where he was earning 6 percent interest and uses the money in his new business. He uses a building he owns as a hangar and could rent it out for $5,000 per year. He rents a computer for $1,200, buys office supplies for $500, rents an airplane for $6,000, pays $1,300 for fuel and maintenance, and hires one worker for $30,000. Luis's total revenue from pilot training classes this year equaled $90,400. Luis's accounting profit this year equals:
a. $45,600.
b. $44,800.
c. $39,000.
d. $51,400