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HOLD CHAPTER 14) BUY An Investor wns a property that he bought a white back SOLD TODAY, the property will provide the investor with 5464.000

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HOLD CHAPTER 14) BUY An Investor wns a property that he bought a white back SOLD TODAY, the property will provide the investor with 5464.000 in cash flow from sale after tanes IF HELD, the property will generate the areal after tax cash flows LATCHto the investor in the following amounts: SELL $55.000 per year for the next 13 years 585,000 per year for more years after that Wheld and then sold at the end of this total hurehoking period, the property is expected to provide $999.000 in after tax cash flow (ATCE) from sale to the investor Wat should the investor do you also now that the investor can receive a rate of return after taxes by instead investing the sales proceeds today in a different investment Thenvestor should Type a number that corresponds to the answer in the table below. For example, if you believe the first row in the table is the right answer 1 continue owing the property because the estimated her tar internal rate of retur ATIRTIS er than 13 2 continue owning the property because the estimated tax internate effets CATIRRower than 16 3 sell the property because the students in rate ofreuen ATIRISher than and west proceeds in the other investment 4 Sell the property because the estimated after tax internal rate of return (ATIR Bow than and rest proceeds in the other investment 5 perty to rent proceeds in the westment 9 cm Whowing the cash flows from the other went Type the answer in rather than in fecimals, and the property is held then the estimated ATINR for the extinted lutute holding period inventive will do not include the sign Hound to 2 decimal places. For example, if you go 19.30, type 12.34 Vouch Aachflows eart of your tal

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