Pierre sold a parcel of land for $50,000. He received $10,000 this year and signs a contract to receive four additional payments of $10,000 each plus interest. If Pierre had a basis in the land of $10,000 and incurred $2,500 in selling expenses, what is his gross profit percentage?
A. 100%.
B. 25%.
C. 10%.
D. 75%.
Answer: D
Business
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