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At what price would michael be indifferent

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Question - Michael Masury has an opportunity to buy a commercial property. Rents from the property will be $24,000 and he expects them to increase at a rate of 5% per year annually. His required rate of return on this investment is 10%. At what price would Michael be indifferent to buying or not buying the investment? Round off to the nearest $1.

Reference no: EM133034393

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