ou can buy property today for $2.4 million and sell it in 5 years for $3.4 million. (You earn no rental income on the property.)

a.If the interest rate is 8%, what is the present value of the sales price?(Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)

b.Is the property investment attractive to you?

c-1.What is the present value of the future cash flows, if you also could earn $140,000 per year rent on the property? The rent is paid at the end of each year.(Do not round intermediate calculations. Enter your answer in millions rounded to 3 decimal places.)c-2.Is the property investment attractive to you now?