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Top Shelf Industries is considering remodeling a building that it leases to a retail store. The remodeling costs are estimated at $ 2 . 1

Top Shelf Industries is considering remodeling a building that it leases to a retail store. The remodeling costs are estimated at $2.12 million. If it proceeds with the remodeling, the tenant has agreed to pay an additional $773,000 a year in rent for the next 6 years. The discount rate is 14.4 percent. What is the benefit of the remodeling project to Top Shelf Industries?
Answer Tolerance: \pm $ 1,250

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