Will rate immediately

You own a small office building where tenants have requested some energy efficient improvements that would cost $120,000. This renovation would result in an increase in PGI of $4,000 per year, a decrease in operating expenses of $3,000 per year, and an increase in the net selling price of $163,000 You expect to hold the property for another four years. At a discount rate of 8 % , does this investment make sense? no, NPV-($2.340) yes, NPV $4,850 yes, NPV-$13.520 yes, NPV-$22.995 need more information D Question 8 10 pts Suppose that your 12,000 SF building was leased for $10 per square foot two years ago on a five-year lease (ie. three years remaining). Your tenant wants to negotiate a buyout (ie. get out of the lease) but comparable space is now renting for only $8 per square foot. At what price should you allow the existing tenant to buyout the lease if your discount rate is 8%? $57,644 $59,684 $61,850 $64,152 $66,602 You own a small office building where tenants have requested some energy efficient improvements that would cost $120,000. This renovation would result in an increase in PGI of $4,000 per year, a decrease in operating expenses of $3,000 per year, and an increase in the net selling price of $163,000 You expect to hold the property for another four years. At a discount rate of 8 % , does this investment make sense? no, NPV-($2.340) yes, NPV $4,850 yes, NPV-$13.520 yes, NPV-$22.995 need more information D Question 8 10 pts Suppose that your 12,000 SF building was leased for $10 per square foot two years ago on a five-year lease (ie. three years remaining). Your tenant wants to negotiate a buyout (ie. get out of the lease) but comparable space is now renting for only $8 per square foot. At what price should you allow the existing tenant to buyout the lease if your discount rate is 8%? $57,644 $59,684 $61,850 $64,152 $66,602