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• Profit = Total Revenues - Total Costs
• implicit costs, which includes opportunity costs, need to be factored in
• Economic Profit = Total Revenues - Total Implicit Costs and Total Explicit Costs
• implicit costs are the opportunity costs, money or something else foregone
• Profit- whatever's left over
• not possible when there is certainty
• certainty present, then more people enter your market, shift the supply curve or demand curve,  and inadvertently change your revenues
• bid up the prices; increases input costs
• Wage
• contractual agreement between the worker and the firm that specifies what the worker has to do and what his/her compensation is
• point- eliminate uncertainty 
• rent's point as well
• Profit vs Nonprofit companies
• profit- entrepreneurs make the decisions; profits tie with betterment of socitey: society better, profit up    society down, profit down
• nonprofit- entrepreneurs don't make decisions; NO feedback loop
• Feedback loop and Losses
• mute the losses and the feedback loop is destroyed
• results in unexpected and unforeseen closing due to not being aware of losses because of no feedback process