yman's block of land worth $3000. An investor has the following offer: pay $5000 now and 2
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Question:
yman's block of land worth $3000. An investor has the following offer: pay $5000 now and 2 equal payments of $150,000 each at the end of year 2 and 4. If money worth J1=8% Should Ayman accept the offer,
a.
No because the PV of all the payments is 288855.3
b.
No: Only if the rate becomes to 10%
c.
No because the PV of all the payments is 247675.7
d.
Yes because the PV of all the payment is 238855.3
Related Book For
South Western Federal Taxation Individual Income Taxes 2018
ISBN: 9781337385893
41st edition
Authors: William H. Hoffman, David M. Maloney, William A. Raabe, James C. Young, Nellen
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