1. Mr. Smith left behind a residential property to his two children, John and Jack. Under Mr. Smiths will, John can occupy the property for the rest of his life for free. The property will be transferred to Jack upon Johns death. John is 51 years old and Jack 48. Jack wants to acquire his brothers interest in the house and wants to know the value of his brothers interest in the house. From market analysis, you find that the full market gross rent of similar house is about $300/week. Freehold yield is 6%. The appropriate YP factor from the Valuation and Life Annuity Tables for male life aged 51 at 6% is 10.9924. Assuming outgoings at 20% and vacancy 4% of the gross rent, advise Jack how much to pay his brother to buy the freehold interest.