Question: Problem 5-11 Present Values (LO2) You can buy property today for $4.0 million and sell it in 6 years for $5.0 million. (You earn no

Problem 5-11 Present Values (LO2) You can buy property today for $4.0 million and sell it in 6 years for $5.0 million. (You earn no rental income on the property.) a. If the Interest rate is 9%, what is the present value of the sales price? (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.) b. Is the property Investment attractive to you? c-1. What is the present value of the future cash flows, if you also could earn $300,000 per year rent on the property? The rent is paid at the end of each year. (Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.) c-2. Is the property Investment attractive to you now? Answer is complete but not entirely correct. million a 2 981 336 634 NO b Prosent value is the property investment attractive to you? Prosent value C- $ 43 200 x million NOO Yes is the property investment attractive to you now

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