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The pension plan also invests in physical assets. It is considering the purchase of an office building today. The asking price for the lot is
The pension plan also invests in physical assets. It is considering the purchase of an office building today. The asking price for the lot is $12 million. What is the annual yield (internal rate of return) of the investment if the purchase price is $12,000,000 today and the sale price 5 years later is $20,200,000?
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