(Answered) Assume you purchased a rental property for 50000 and sold

Finance

Assume you purchased a rental property for $50,000 and sold it one year later for $55,000 (there was no mortgage on the property). At the time of the sale, you paid $2,000 in commissions and $600 in taxes. If you received $6,000 in rental income (all of it received at the end of the year), what annual rate of return did you earn?

a. 15.3%.

b. 15.9%.

c. 16.8%.

d. 17.1%.

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