Question
Suppose a condo generates $11,000 in cash flows in the first year. If the cash flows grow at 4% per year, the interest rate is
Suppose a condo generates $11,000 in cash flows in the first year. If the cash flows grow at 4% per year, the interest rate is 8%, and the building will be torn down in 20 years (the building is worthless after 20 years), what is the most you would pay for the condo today?
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Handbook Of Consumer Finance Research
Authors: Jing Jian Xiao
2nd Edition
3319288857, 978-3319288857
