Use present worth for your calculation

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Nabil is considering buying a house while he is still at university. The house costs $250,000, today. Renting out part of the house and living in the rest over his five years at school will net, after deducting expenses, $1, 800 income per month. He estimates that he will sell the house after five years for $260,000. If Nabil's MARR is 12% (annual rate) but compounded monthly, should he buy the house? Use Present Worth for your calculation.

Reference no: EM131309662

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