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Selecting an investment

The annual discount rate is 8% and you have $1,700,000 to invest. You may invest your funds that you do not invest at 8%. You have your choice of the following real estate investments. Which one(s) should you choose. You may choose an investment only once.

Cost Value 5 years from now

a. Alpha Acres 800,000 1,700,000

b. Beta Bluff 900,000 1,800,000

c. Charlie Coast 1,100,000 1,900,000

d. Delta Delta 700,000 1,300,000

e. Echo Estuary 600,000 1,100,000

f. Foxtrot Fairway 400,000 900,000

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M9163062

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