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1. Your company, Big Builders, LLC, is considering purchasing a commercial building in Fayetteville, Arkansas. At first, this investment seems like a slam dunk.

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1. Your company, Big Builders, LLC, is considering purchasing a commercial building in Fayetteville, Arkansas. At first, this investment seems like a "slam dunk." The building is in a great part of the city, and it is so reasonably priced at only $250,000. Upon inspection, you find out that the building contains asbestos and will also need other improvements. Those upgrades are expected to cost around $75,000. The process is expected to take approximately 2 years, and the expected sale price will be $450,000. First, use your financial calculator to figure the rate of return on this investment. -Remember, you need to make one of the numbers negative for it to calculate properly. (3)

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