Joe quits his computer programming job, where he was earning a salary of

$70,000

per year, to start his own computer software business in a building that he owns and was previously renting out for

$27,000

per year. In his first year of business he has the following expenses: salary paid to himself,

$40,000;

rent, $0; and other expenses,

$20,000.

1. Find the accounting cost and the economic cost associated with Joe's computer software business. _____________

(Enter numeric responses using an integer.)

2. The accounting cost of Joe's business is -______________

(Enter your response as an integer.)