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Dr. Bob Jackson owns a parcel of land that a local farmer has offered to rent from him for the next 10 years.The farmer has

  1. Dr. Bob Jackson owns a parcel of land that a local farmer has offered to rent from him for the next 10 years.The farmer has offered to pay $20,000 today or an annuity of $3,200 at the end of each of the next 10 years.Which payment method should Dr. Jackson accept if his required rate of return is 10 percent?
  2. If you deposit $1,000 at the end of each of the next ten years and these deposits earn interest at 10 percent compounded annually, what will the series of deposits be worth at the end of the 10thyear?
  3. You are thinking about purchasing some vacant land.You expect to be able to sell the land ten years from now for $500,000.What is the most you can pay for the land today if your required rate of return is 15 percent?
  4. Suppose you have the opportunity to make an investment in a real estate venture that expects to pay investors $75,000 at the end of each year for the next 10 years. You believe that a reasonable return on your investment should be an annual rate of 8% compounded annually. How much should you pay for the investment?
  5. An investment in a real estate venture will provide returns at the end of the next four years as follows: year 1, $5,500; year 2, $7,500; year 3, $9,500; and year 4, $12,500. An investor wants to earn a 12 percent return compounded annually on the investment. What is the maximum price that should be paid for the investment?
  6. Owner's claim on a property's Cash Flow is known as a "residual claim"; what does that mean?

7.Complete the crossword puzzlehttps://www.proprofsgames.com/crossword/real-estate-terms-7/and add a snapshot of the completed puzzle

Please include the calculation formula/ process.

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