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Jay is considering the purchase of a rental home. He plans to hold the house forever (leave it to his heirs). He forecasts that he

Jay is considering the purchase of a rental home. He plans to hold the house forever (leave it to his heirs). He forecasts that he will receive rent of $5,000 every month forever. How much should Jay pay for the rental property if his cost of capital in APR is 18% annually? Answer: $333,333.33 Please show how to do the question, thank you.

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