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Suppose you are considering whether to purchase a house off of Lake Erie for $ 4 0 0 , 0 0 0 . You expect

Suppose you are considering whether to purchase a house off of Lake Erie for $400,000. You expect the total costs of maintaining the property (utilities, repairs, etc.) to equal $15,000/year, and that you would be able to generate $35,000/year in revenue if you were to put the house on the short term rental market.

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