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What would charge the landlord as minimum compensation

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Question 1: You signed a rental agreement with a landlord to rent his house for 10 years for which you pay ? 50,000 per year at the beginning of the lease year. Suppose, just before the fourth year's lease payment is due, your landlord wants to rent the house to a software company. In the time you have lived in the house, the rental prices have increased to ? 60,000 for similar houses like the one you rented. At a 8% discounting rate, what would you charge the landlord as minimum compensation to buy the lease back from you?

Reference no: EM132895919

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