How did Damu Anna react emotionally and mentally after receiving Sai Baba's discouraging reply about the cotton business?

Damu Anna was profoundly disappointed and crestfallen upon receiving Baba's reply. Chapter 25 vividly describes his state, noting that "The fortress of his desires crumbled; the tree of hope was uprooted." He was so distraught that he lamented his decision to even write the letter, feeling he had "kicked away the served plate" himself. He had already built a "kingdom of the mind" where he imagined earning a lakh, becoming a millionaire money-lender, and living happily. Baba's refusal caused this entire mental construction to melt away, leaving him feeling that he had caused his own harm.