Answer the Questions Below using the Following Information. We have the Option to Invest in a Rental Property with a Plan to Sell the Property at the End of 15 Years. 1. The Cost to Purchase the Rental Property is $300,000, and requires a Cash Down Payment of 30% Due Now Today (NO Tax) 2. The 70% Principal Balance will be paid to the Bank when we SELL the property at END (NO Tax) 3. The Interest Only Mortgage Payments are $10,000 Per Year (TAX) 4. County Property Tax Payments are \$5,000 Per Year (TAX) 5. Extensive Repairs are predicted in Year 8 at a Cost of $20,000 (TAX) 6. Rental Income is $24,000 Per Year (TAX) 7. It is estimated that the Rental Property can be sold in 15 Years for $330,000 (NO Tax) 8. Depreciation Expense is a Deduction for Taxes at $12,000 per Year (300k/25Yr Life =12k)(TAX) 9. Assume Our Cost of Capital or Our Required Rate of Return is 10% 10. Assume Our Tax Rate is 30%. Add or Subtract the Tax Cost or Benefit When Needed (TAX) 11. Round All Answers to the NEAREST Dollar. - Input your Answers as a Number Only to the Nearest Dollar, No Commas, Decimals, or Dollar Signs. Show a Negative Number in Parens, Example =150=(150), Except Where it is Noted Otherwise. Compute the PV,Present Value of the Down Payment = Compute the PV of the Principal Due to be Paid at the End = Compute the PV of the Mortgage Interest Cost = Compute the PV of the Property Taxes Cost = Compute the PV of the Repairs Cost = Compute the PV of the Rental Income = Compute the PV of the Sale of Rental Property = Compute the PV, +/() of the Depreciation Benefit = Compute the PV of the Sale of Rental Property = Compute the PV, +/() of the Depreciation Benefit = Compute the NPV, Net Present Value, of the Rental Investment Opportunity = Which Rate is Greater on this Investment IRR or COC? = Input your Answer as either IRR or COC, all Caps. How Do you know the Answer to the Question Above? = Input your Answer with one of the Following; IRR >0 or IRRCOC>0 or COC0 or NPV0 or IRR 0 or COC0 or NPVCOC or COC>IRR Is the IRR for this Investment Greater than 10% ? = Input your Answer with either YES or NO. How Do you know the Answer to the Question Above? = Input your Answer with One of the Following; IRR>0 or IRR 0 or COC>0 or COC0 or NPVCOC or COC>IRR Compute the Net Cash Flow for this Capital Project = Ignore Time Value of Money? Input your Answer as a Number Only to the Nearest Dollar, No Commas, Decimals, or Dollar Signs. Show a Negative Number in Parens, Example = 150=(150) Is this a Good Investment ? = Input your answer with either YES or NO. How Do you know the Answer to the Question Above? = Input your Answer with One of the Following; IRR>0 or IRRCOC>0 or COC0 or NPVCOC or COC>IRR