Problem $10-6$ IMPORTANT!!! $-$ There are similar questions that have been answered but are incorrect. It's not as simple as using the perpetuity approach or the gordon model. Apparently theres so much more to it$.$ PLEASE HELP

Athena Investment Company is considering the purchase of an office property. After a careful review of the

market and the leases that are in place, Athena believes that next year's cash flow will be $$100,000.$ It also

believes that the cash flow will rise in the amount of $$5,200$ each year for the foreseeable future. It plans

to own the property for at least $10$ years. Based on a review of sales of properties that are now $10$ years

older than the subject property, Athena has determined that cap rates are in a range of $0\mathrm{.}10.$ Athena

believes that it should earn an IRR $($required return$)$ of at least $11$ percent.

Required:

a$.$ What is the estimated value of this office property $($assume a $0\mathrm{.}10$ terminal cap rate$)?$

b$.$ What is the current, or going$-$in$,$ cap rate for this property?

Complete this question by entering your answers in the tabs below.

Required $A$

Required B

What is the estimated value of this office property $($assume a $0\mathrm{.}10$ terminal cap rate$)?$

Note: Do not round intermediate calculations. Round your final answer to the nearest dollar amount.

Estimated value of the property