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the figure below shows the marginal abatement costs Microsoft Word-TVM Problem Set.pdf (page 2 of 2)-Edited 9. Suppose that your required rate of return on

the figure below shows the marginal abatement costs
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Microsoft Word-TVM Problem Set.pdf (page 2 of 2)-Edited 9. Suppose that your required rate of return on a duplex is 12 percent. You are shown one such property which has an asking price of $30,000. The sales representative shows you the following cash flow projections for a holding period of 6 years Year 1: $4,500 Year 2: $5,000 Year 3: $6,000 Year 4: $3,000 Yenr 5: $8,000 Yrar6: $20,000 Should you buy the investment? b. a. What would be your expected rate of return? 10, what is the net present value of the duplex investment in Problem #9 if the asking price is S28,000 and your required rate of return is 12 percent? 10 percent? 15 percent? MacBook Air

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