Vincent purchased 12 acres of land for $150,000. He quit his $40,000-a-year job as a postal employee and opened a stable for boarding horses on his land. The stable generates $50,000 in annual net revenue after all day-to-day expenses have been covered. Assume that the relevant discount rate is 10 percent. What is Vincent's business profit? What is his economic profit?

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The Answer of Vincent purchased 12 acres of land for $150,000. He quit his $40,000-a-year job as a postal employee and opened a stable for boarding horses on his land. The stable generates $50,000 in annual net revenue after all day-to-day expenses have been covered. Assume that the relevant discount rate is 10 percent. What is Vincent's business profit? What is his economic profit?

Vincent Purchased 12 Acres of Land for $150,000