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This book describes a simple formula to estimate the economic rents earned by a company. Economic rents are the real profits hidden by the accounting system. Negative economic rents mean hidden losses - reject investing in those companies. High positive economic rents signify that the company is a good and safe investment.
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This book describes a simple formula to estimate the economic rents earned by a company. Economic rents are the real profits hidden by the accounting system. Negative economic rents mean hidden losses - reject investing in those companies. High positive economic rents signify that the company is a good and safe investment.