Explain investment economically acceptable, Operation Management

Assignment Help:

Orangemen Lofts plans to add 300 luxury apartments to its complex in Cohoes. The cost of the land now is $16 million including taxes and fees. The construction cost is expected to be $64 million including the cost of the central amenities. The annual maintenance and operating cost is expected to be $450,000. The company also estimates the market value of the property to be 72% of the construction price after 11 years. The average occupancy rate of 88% is expected each year. What is a minimum monthly rent required to make this investment economically acceptable if the company's minimum attractive rate of return is 6% per year, compounded monthly?


Related Discussions:- Explain investment economically acceptable

Explain improving operations, What would you recommend to the company if th...

What would you recommend to the company if they asked you to advise them in improving their operations?

Ch 6, I-mart is a discount optical shop that can fill most prescription ord...

I-mart is a discount optical shop that can fill most prescription orders in around 1 hour. The management is analyzing the processes at the store. There currently is one person ass

Production control, Production Control Meaning and Definition ...

Production Control Meaning and Definition Production control involves implementation of production plans or schedules by coordinating different activities. It seeks to

Explain tuxedo ordering system for a local school system, You are on a proj...

You are on a project team that has been assigned a tuxedo ordering system for a local school system your question here

Electronic data interchange, Electronic data interchange relies on   St...

Electronic data interchange relies on   Structured data and standard business documents.

Explain what the law code of hammurabi reveals, • Describe what the Law Cod...

• Describe what the Law Code of Hammurabi reveals about Babylonian culture; consider relations between men and women, slaves and freemen. • Explain whether or not you believe th

Determine the optimal order quantity as well the annual cost, The home good...

The home goods department of a large department store sells 175 units per month of a certain large bath towel. The unit cost of a towel to the store is $2.50 and the cost of placin

Explain current business operating on a global scale, Introduce a new speci...

Introduce a new special form of insurance for current business operating on a global scale with a diverse work force, which includes virtual employees.

How technology is creating employer or employee rights, Give some examples ...

Give some examples of how technology is creating employer/employee rights and policy issues. Then suggest some possible actions that may be needed

Explain benefit-cost and cost-effectiveness, "A Closer Look" Please respond...

"A Closer Look" Please respond to the following: •Compare and contrast benefit-cost, cost-effectiveness, and cost-utility analysis and determine which is the most useful to assess

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd