You are considering buying an old house that you will convert into an office building for rental. Assuming that you will own the property for 10 years, How much (the maximum amount) would you be willing to pay for the old house now given the following financial data.
remodeling cost at period 0 = 20000$
annual rental income = 25000
annual upkeep cost ( including tax) = 5000
estimated net property value at the end of 10 years = 225000
the time value of your money (interest rate) = 10%  

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