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You require a 10% annual return on year investment. You can buy a real estate project with the following expected cash flows, year one $10,000,
- You require a 10% annual return on year investment. You can buy a real estate project with the following expected cash flows, year one $10,000, year two $12,500, year three $15,000 and year four $65,000. What would you pay?
- If you paid $55,000 for the above cash flows, what would be your annual return on your investment?
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