Professional Properties is considering remodeling the office

building it leases to Heartland Insurance. The remodeling costs are

estimated at $$2\mathrm{.}8$ million. If the building is remodeled, Heartland

Insurance has agreed to pay an additional $$820,000$ a year in rent

for the next five years. The discount rate is $12\mathrm{.}5$ percent. What is

the benefit of the remodeling project to Professional Properties?

$$105,214\mathrm{.}70$ $$108,399\mathrm{.}15-$$$89,072\mathrm{.}00-$$$111,417\mathrm{.}03$ $$119,666\mathrm{.}0$