75. Suppose that annual income from a rental property is expected to start at $1,500 per year...

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75. Suppose that annual income from a rental property is expected to start at $1,500 per year and decrease at a uniform amount of $50 each year after the first year for the 10- year expected life of the property. The investment cost is $7,000, and i is 8% per year. Is this a good investment? Assume that the investment occurs at time zero (now) and that the annual income is first received at EOY 1. (4.11)

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Engineering Economy

ISBN: 9781292265001

17th Global Edition

Authors: William G. Sullivan ,Elin M. Wicks ,C. Patrick Koelling

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