Determine present stream of accounting profits and economy

Reference no: EM13202190

An owner can lease her building for $100,000 per year for three years. The explicit cost of maintaining the building is $35,000 and the implicit cost is $50,000. All revenues are received, and costs are borne, at the end of each year. If the interest rate is 4%, determine the present stream of accounting profits and economic profits.

Reference no: EM13202190

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