I was proposed to invest $750,000 today, to have an income of $62,000 at the end of each month; They will face expenses of $30,000 at the end of the first month and will have an increase of $500 each month, starting from the 2nd. It is estimated that the project will last 5 years and at that time the originally acquired assets will be sold for $80,000. If my m minimum acceptable rate of return (MARR) is 1.5% per month, should I accept or reject this proposal? Use the Future Value criterion at the end of the 5th year.

Answer rating: 100% (QA)

To determine whether you should accept or reject the proposal we can calculate the future value FV of the investment at the end of the 5th year and co... View the full answer