A company charges $360,000 for newly built homes and guarantees a yearly rent of $2,000 to be paid at the end of each year for two years and commits to buy back the home for $450,000 at the end of 2 years. Considering the interest rate is 12%, is it a good investment to buy this house?

Answer rating: 100% (QA)

To determine if this investment is good or not calculate the net present ... View the full answer