Investors owning rental housing may think of their investment essentially as a perpetuity of inflation-adjusted monthly rental payments. We will ignore inflation effects here and assume constant rental payments (or alternatively, think of all amounts as being in real terms). Your friend owns an apartment in Randwick, which is paying him a net monthly rent of $3,200. The next payment is due in exactly one month. His real estate agent tells him that the apartment is worth $941, 176 in the market today. What per-month discount rate (not annualized) does this imply? % The current occupant has lost his job due to COVID-19 and told your friend he will now longer pay rent. He is protected from eviction by current government emergency policies. Your friend expects that rental payments will only resume in 8 months. Due to the elevated risk, he now assumes a per-month discount rate of 0.53% going forward. What is the new implied market price of the apartment, assuming that the tenant will not make up for the omitted payments? What is the new implied market price of the apartment, assuming that the tenant will pay all omitted payments at the same time that he resumes his regular payments in 8 months? $