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    Calculating Real Estate Profit for desired Return

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    Kevin wants a return of 50% from his one-year investment in real estate. He believes that he can sell the property at the end of the year for $250,000 and that the property will provide him with income of $50,000. What is the maximum amount that Kevin should be willing to pay for the property?
    a. $125,000
    b. $150,000
    c. $200,000
    d. $250,000

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    Solution Preview

    Student,

    On a question like this, you need to be absolutely clear on what the technical definition for your ...

    Solution Summary

    Two, typical definitions that lead to the desired return on investment (ROI)

    Explanation is in the attached documents. All three are the same: two versions of Word and one in PDF

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