What is wrong with the given statement

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Question: What is wrong with the following statement: Property X is worth $10 million in the market today because it produces $1 million of annual net income, and cap rates in the relevant property asset market are currently 10%.

Reference no: EM131734237

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What is wrong with the given statement : What is wrong with the following statement: Property X is worth $10 million in the market today because it produces $1 million of annual net income.
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