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An investor is considering purchasing a rental property for $400,000. The property is expected to generate rental income of $3,000 per month and incur operating
- An investor is considering purchasing a rental property for $400,000. The property is expected to generate rental income of $3,000 per month and incur operating expenses of $800 per month. Additionally, the property's value is expected to appreciate by 4% annually. Calculate the property's net present value (NPV) over a 10-year investment horizon, assuming a discount rate of 7%.
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Engineering Economic Analysis
Authors: Donald Newnan, Ted Eschanbach, Jerome Lavelle
9th Edition
978-0195168075, 9780195168075
