Question: , Grace L t d is a real estate developer. Today, Grace has 2 0 0 apartments under construction which will be completed at the
Grace is a real estate developer. Today, Grace has apartments under construction
which will be completed at the end of months. The current market conditions allow
Grace to sell each apartment at $ million quite comfortably. Grace figures that the
price variance is for the next months. Grace's risk aversion factor is If Grace
decides to sell apartments today, the expected future price is nearest:
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