Question: somework: Chapter 18 Problems Score: 0 of 10 pts 1 of 2 (0 complete) HW Score: 0%, 0 of 20 18.1 (similar to) Question Help
somework: Chapter 18 Problems Score: 0 of 10 pts 1 of 2 (0 complete) HW Score: 0%, 0 of 20 18.1 (similar to) Question Help Stan Marsh, an investor, is considering two financing plans for purchasing a parcel of real estate costing $151,250. Alternative 1 involves paying cash, alterative 2 involves obtaining 84% financing at 8.6% interest. If the parcel of real estate appreciates in value by 517,258 in 1 year, calculate (a) stan's net return and (b) his return on equity for each alternative. If the value dropped by $17,258, what effect would this have on your answers to parts a and b? a. If the parcel of real estate appreciates in value by $17.258 in 1 year, Stan's net return on alternative 1 is $(Round to the nearest dotat) somework: Chapter 18 Problems Score: 0 of 10 pts 1 of 2 (0 complete) HW Score: 0%, 0 of 20 18.1 (similar to) Question Help Stan Marsh, an investor, is considering two financing plans for purchasing a parcel of real estate costing $151,250. Alternative 1 involves paying cash, alterative 2 involves obtaining 84% financing at 8.6% interest. If the parcel of real estate appreciates in value by 517,258 in 1 year, calculate (a) stan's net return and (b) his return on equity for each alternative. If the value dropped by $17,258, what effect would this have on your answers to parts a and b? a. If the parcel of real estate appreciates in value by $17.258 in 1 year, Stan's net return on alternative 1 is $(Round to the nearest dotat)
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