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Karman Corporation is evaluating four different real estate investments. Management plans to buy the properties today and sell them three years from today. The annual

Karman Corporation is evaluating four different real estate investments. Management plans to buy the properties today and sell them three years from today. The annual discount rate for these
investments is 16%. The following table summarizes the initial cost and the sale price in three years for each property: . Karman Corporation has a total capital budget of $540,000 to invest in
properties. Which properties should it choose?
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