1. An investor who recently returned from overseas has decided to invest in a venture which has been proposed by a leading investment company.The investor is expected to receive ten (10) sum payments of $5000 at the end of each year for ten times (10) years. However payment increased on by 5% on the second , 10% on the fourth , 15% on the sixth , 20% on the eighth and 25% on the tenth payment . Calculate the sum that should be paid to him now at an interest of 5 % . 2. An office complex measuring 203m^3 has been offered for sale. The cost of replacing the assets and depreciation is estimated $1200m^2 and 10% respectively. I. Calculate the market value price. II. If an extension of 52m^2 has been made to the office complex to be used as residential facility , calculate the capital value of the residential facility at a rate of 900m^2 depression of 4% III.if land comparable land value is assessed at $30000,calculate the value of the subject property.
1. An investor who recently returned from overseas has decided to invest in a venture which has been proposed by a leading investment company.The investor is expected to receive ten (10) sum payments of $5000 at the end of each year for ten times (10) years. However payment increased on by 5% on the second , 10% on the fourth , 15% on the sixth , 20% on the eighth and 25% on the tenth payment . Calculate the sum that should be paid to him now at an interest of 5 % . 2. An office complex measuring 203m^3 has been offered for sale. The cost of replacing the assets and depreciation is estimated $1200m^2 and 10% respectively. I. Calculate the market value price. II. If an extension of 52m^2 has been made to the office complex to be used as residential facility , calculate the capital value of the residential facility at a rate of 900m^2 depression of 4% III.if land comparable land value is assessed at $30000,calculate the value of the subject property.
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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1. An investor who recently returned from overseas has decided to invest in a venture which has been proposed by a leading investment company.The investor is expected to receive ten (10) sum payments of $5000 at the end of each year for ten times (10) years. However payment increased on by 5% on the second , 10% on the fourth , 15% on the sixth , 20% on the eighth and 25% on the tenth payment . Calculate the sum that should be paid to him now at an interest of 5 % .
2. An office complex measuring 203m^3 has been offered for sale. The cost of replacing the assets and depreciation is estimated $1200m^2 and 10% respectively.
I. Calculate the market value price.
II. If an extension of 52m^2 has been made to the office complex to be used as residential facility , calculate the capital value of the residential facility at a rate of 900m^2 depression of 4%
III.if land comparable land value is assessed at $30000,calculate the value of the subject property.
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