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2. Kartman Corporation is evaluating four real estate investments. Management plans to buy the properties today and sell them three years from today. The annual

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2. 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 investment is 15%. The following table summaries the cost and sale price in three years for each property: Cost today Sale price in Year 3 Parkside Acres $650,000 $1,150,000 Real Property $800,000 $1,400,000 Lost lake Property $650,000 $1,050,000 Overlook $150,000 $ 350,000 Kartman has a total budget of $800,000 to invest. Which properties should it choose? a

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