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A restaurant is for sale for $200,000. It is estimated that the restaurant will earn $20,000 a year for the next 15 years. At the

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A restaurant is for sale for $200,000. It is estimated that the restaurant will earn $20,000 a year for the next 15 years. At the end of 15 years, it is estimated that. the restaurant will sell for $350,000. Which of the following would be MOST LikELY to occur if the investor's required rate of return is is percent? investor would pursue the project if the holding period were longer than 15 years Investor would pursue the project Investor would not pursue the project Not enough information provided QUESTION 13 Analysis of a subject property's pro forma reveals that its fifth-year net operating income (NOI) is projected to be 5110,282 fyou can assume that this cash flow occurs at the end of the year). If you estimate the projected rental growth rate for the property to be 2.5N per year and the going-out capitalization rate in year 5 to be 8%, determine the net sale proceeds the current owner of the property would receive if he were to sell the property at the end of year 5 and incur selling expenses that amounted to 558,300. $974,610.00$1,354,688.00$1,032,910.00$1,412,988.00

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