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Assume you purchase a property for $1,000,000. You expect to earn the following annual cash flows: Year 1$50,000 Year 2$100,000 Year 3$105,000 Year 4$110,250 Year

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Assume you purchase a property for $1,000,000. You expect to earn the following annual cash flows: Year 1$50,000 Year 2$100,000 Year 3$105,000 Year 4$110,250 Year 5$115,762 You also expect to sell the property in year 5 for $1,300,000. Assuming a discount rate of 10%, is this a good investment? What is the IRR of this transaction

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