Question: R 1 0 Problem 1 2 - 3 3 CAPM and Valuation ( LO 3 ) 1 0 points You are considering the purchase of

R10
Problem 12-33 CAPM and Valuation (LO3)
10 points
You are considering the purchase of real estate that will provide perpetual income that should average $52,000 per year. How much will you pay for the property if you believe its market risk is the same as the market portfolio's? The T-bill rate is 5%, and the expected market return is 10.0%.
Property value
R10 Problem 12-33 CAPM and Valuation (LO3) 10 points You are

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