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First annual income is $ 150.000 of an hotel whose sales price was $ 2.250.000. Its yearly income will decrease $ 10.000. At the end of 15 years the is expected to be sold for an $ 1.150.000. Please discuss if this is an good investment opportunity for an investor who expects yearly 15% income.

First annual income is $ 150.000 of an hotel whose sales price was $ 2.250.000. Its yearly income will decrease $ 10.000. At the end of 15 years the is expected to be sold for an $ 1.150.000. Please discuss if this is an good investment opportunity for an investor who expects yearly 15% income.

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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First annual income is $ 150.000 of an hotel whose sales price was $ 2.250.000. Its yearly income will decrease $ 10.000. At the end of 15 years the is expected to be sold for an $ 1.150.000. Please discuss if this is an good investment opportunity for an investor who expects yearly 15% income.
Transcribed Image Text:First annual income is $ 150.000 of an hotel whose sales price was $ 2.250.000. Its yearly income will decrease $ 10.000. At the end of 15 years the is expected to be sold for an $ 1.150.000. Please discuss if this is an good investment opportunity for an investor who expects yearly 15% income.
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