Kartman Corporation is evaluating four real estate investments. Management plans to buy the properties today and sell them three years from today. The annual discount rate for these investments is 15%. The following table summarizes the initial cost and the sale price in three years for each property:

Kartman has a total capital budget of $620,000 to invest in properties. Which properties should it choose?

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Parkside Acres Real Property Estates Lost Lake Properties Overlook Cost Today $560,000 920,000 550,000 60,000 Sale Price in Year 3 $1,060,000 1,520,000 950,000 260,000