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Scott is considering the purchase of 400 acres of land for $1.52737 per acre. A bank wil loan $1410 per acre of land and the

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Scott is considering the purchase of 400 acres of land for $1.52737 per acre. A bank wil loan $1410 per acre of land and the loan wil bewy amortized over 20 years at 19% outstanding balance of the loan will be paid at the end of the third year. Assume that the marginal tax rates 224 Suppose that the following information is given (Net cash flow on a per acre basis) Net Cash Flow before debt in Year 1= $173.00 Net Cash Flow before debt in Year 2= $198.00 Net Cash Flow before debt in Year 3- $1.715.00 How much down payment is needed for the 100 acres? a 567 819 $86,948 C$100.942 d $80,705 e None of the answers are correct Enter Response Here () Calculate the amount of loan payment per acre per period a $223 . 5341 C5215 a $275 e. None of the answers are correct Enter Response Here: (W) Calculate the per acre tax savings from paying interest in Year 2 D. $27 C 558 e. None of the answers are correct Enter Response Here t i s he the s (V) How much money needs to be generated from other parts of the business to cover the cash a $16.780 $17.792 C 521,513 d 525,601 e None of the answers are correct Enter Response Hered c ata ? year, so that the investimenti (V) How much money needs to be generated from other parts of the business to cover the cash deficit for the 100 acres in the a $5,691 D. 57 301

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