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If you knew you were going to inherit a property 10 years from today today and...

If you knew you were going to inherit a property 10 years from today today and immediately sell it for $5 million, what would this right be worth to you today assuming you could earn 5% on your investments

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Answer #1

Present value of inflows=cash inflow*Present value of discounting factor(rate%,time period_

=5,000,000/1.05^10

=5,000,000*0.613913253

=$3,069,566.27(Approx).

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