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7218 LO Q2) Jeff and Sharon bought 200 Shares of a growth stock at Share in their taxable account. Today the Stock is worth $25,165

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7218 LO Q2) Jeff and Sharon bought 200 Shares of a growth stock at Share in their taxable account. Today the Stock is worth $25,165 with an average annual after tax return of 75% How many years have they owned the stock? cash flows: Q3) Bob and Amy want to purchase with cash? a 95000 town home for their son to live in. They expect the home to increase in value at a rate of 5% annually. The opportunity cost for the cash purchase is 7% (discount rate). They believe two roomates will pay rent towards the purchase that will produce the following net after tax Y, - 800 Y2 = $300 What will the value of the nome be if sold at the end of the fourth Year? Y3 - $ 400 Y4 = $500

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