Business, 17.02.2020 17:49 ElizaSchuyler10
You are considering a luxury apartment building project that requires an investment of $14,500,000. The building has 50 units. You expect the maintenance cost for the apartment building to be $350,000 the first year and $400,000 the second year. The maintenance cost will continue to increase by $50,000 in subsequent years. The cost to hire a manager for the building is estimated to be $85,000 per year. After five years of operation, the apartment building can be sold for $16,000,000.
Required:
A) What is the annual rent per apartment unit that will provide a return on investment of 15%? Assume that the building will remain fully occupied during its five years of operation.
Answers: 3
Business, 21.06.2019 20:30, sjanem03
Which of the following statements regarding the learning curve and economies of scale is accurate? answers: just as diseconomies of scale are presumed to exist if a firm gets too large, there is a corresponding increase in costs in the learning-curve model as the cumulative volume of production grows. where diseconomies of scale are presumed to exist if a firm gets too large, there is no corresponding increase in costs in the learning-curve model as the cumulative volume of production grows. where diseconomies of scale are presumed to exist if a firm gets too small, there is no corresponding increase in costs in the learning-curve model as the cumulative volume of production grows. just as diseconomies of scale are presumed to exist if a firm gets too small, there is a corresponding increase in costs in the learning-curve model as the cumulative volume of production grows.
Answers: 1
Business, 22.06.2019 01:30, rhettperkins
Emil motycka is considered an entrepreneur because
Answers: 2
You are considering a luxury apartment building project that requires an investment of $14,500,000....
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