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QUESTION 27 10 An investor is considering a potential investment that can be purchased for $650,000 and yields $75,000 in annual income. If the investment
QUESTION 27 10 An investor is considering a potential investment that can be purchased for $650,000 and yields $75,000 in annual income. If the investment can be sold for $950,000, how much of the value is attributed to the income and how much is attributed to the reversion, assuming a discount rate of 15% and a five-year holding period? O Income is $351,412 and reversion is $372,318 O Income is $372,318 and reversion is $351,412 O Income is $251,412 and reversion is $472,318 O Income is $472,318 and reversion is $251,412
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