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You are considering investing in the following opportunity: an apartment building costs $2M, you anticipate $100k per year in cash flow and wish to sell

You are considering investing in the following opportunity: an apartment building costs $2M, you anticipate $100k per year in cash flow and wish to sell property in year 8 for $3.5M. Should you invest given you have a risk-adjusted discount rate of 10? (show work for opportunity to earn partial credit, i.e. CF0=x)

NPV=

IRR=

Yes or no AND why?

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