What is the anticipated rate of return

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Reference no: EM13836197

A property, if sold today. will provide the equity investor with $250,000 in cash flow after taxes. If the property is held, the annual after-tax cash flow received by the investor is expected to be $23,000 per years 1 to 5. If held and sold in 5 years. The property is expected to provide $300,000 in after-tax cash flow to the investor. What the investor do if she can receive a 10% rate of return by investing the sales proceeds today in a different project? What is the anticipated rate of return if half for 5 more years?

Reference no: EM13836197

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