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(b) This year you buy a Villa in the country side for pleasure in leisure time. The mortgage payment for the Villa is RM1,200 per

(b) This year you buy a Villa in the country side for pleasure in leisure time. The mortgage payment for the Villa is RM1,200 per month and the maintenance fee is RMZSO per month if it is occupied but zero if it is unoccupied. You plan to rent it out during the summer months to lighten your nancial burden. (i) What is the minimum rent you are willing to accept for the Villa? Explain your reasons for this. (3 marks) (ii) Identify the irrelevant information in your decision making and explain. (2 marks)

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