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Barbra purchased a piece of real estate last year for $85,000. The real estate is now...

Barbra purchased a piece of real estate last year for $85,000. The real estate is now worth $102,000. If Barbra needs to have a total return of 25 percent during the year, then what is the dollar amount of income that she needs to have to reach her objective?

$4,250

$5,250

$3,750

$4,750
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Answer #1

The dollar amount of income required = 85000*(1+25%)-102000 = 4250

Option a is correct option.

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