1: Jacob was receiving rental payments of $3,000 at the beginning of every month from the tenants of his commercial property. What would be the value of his property in the market if he wants to sell it, assuming a market capitalization rate of 4.75% compounded annually?

2: Kevin set up a fund that would pay his family $4,000 at the beginning of every month, in perpetuity. What was the size of the investment in the fund if it was earning 3.00% compounded semi-annually?

Answer rating: 100% (QA)

1 Applicable interest rate Particulars Value Glven APR 475 Glven numbe... View the full answer