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Fred is considering the purchase of a lease that will allow him to operate a restaurant at the local airport for a period of five
Fred is considering the purchase of a lease that will allow him to operate a restaurant at the local airport for a period of five years. The lease will cost $32,000 annually along with monthly operation costs of 8,000. Fred anticipates monthly revenues of $16,000. Calculate the PV of the expected profits of the investment? Assume I = 0.05
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