An annual income statement from Quest Realty, Inc. is shown below:
During this year of operation, Quest Realty owned and occupied an office building in downtown Indianapolis. For this year, the building could have been leased to other businesses for $2,000,000 in lease income. Quest Realty also owned undeveloped land valued at $15,000,000. Owners of Quest Realty can earn a 14% rate of return annually on funds invested elsewhere.Quest's accounting profit is
A. -$4,100,000
B. $38,200,000
C. $9,360,000
D. $42,300,000
E. none of the above
Answer: E
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Answer the following statement true (T) or false (F)
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