Multiple Choice
Stu can purchase a house today for $110,000,including the cost of some minor repairs.He expects to be able to resell it in one year for $129,000 after cleaning up the property.At a discount rate of 5.5 percent,what is the expected net present value of this purchase opportunity?
A) $13,001.61
B) $12,487.43
C) $12,274.88
D) $9,208.18
E) $11,311.02
Correct Answer:
Verified
Correct Answer:
Verified
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