Using a discounted present value model of house prices, is it worth carrying out a renovation costing

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Using a discounted present value model of house prices, is it worth carrying out a renovation costing $30,000 if it raises the monthly rental price by $200 where the depreciation rate is 2%, the tax rate is 1%, the real risk free rate is 1%, and the expected real growth rate of rents is 1%?

Posted Date: Dec 06, 2021 01:25 PM

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Using a discounted present value model of house prices, is it worth carrying out a renovation costing

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Working Solution Actual profitability of the project is evaluated by computing the ... View the full answer

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