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( 1 0 pts ) I am considering buying a basketball team for $ 4 5 0 million. I estimate the team to bring $

(10pts) I am considering buying a basketball team for $450 million. I estimate the team to bring $12 million annually in perpetuity. Alternatively I could invest the $450 million into a savings account with a real interest rate of 2%.
(a) Do I buy the team?
(b) At what ranges of real interest rates does my decision switch?
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