1-A man who wanted to buy a house got $ 70.000 mortgage credit. He prefers to monthly pay back in 10 years with % 10 interest rate. After he made his 82. Payment he wanted to pay remaining debt to bank because he inherited a sum of Money from one of his uncle. How much Money he has to make as one single payment for the remaining debt? 2-Below is two Projects (A and B) to reinforce of used old building Project A Project B construction cost 130.000 $ X$ annual expenses 12.000 $ 14.000 $ salvage value 18.000 $ 20.000 $ physical life. 30 years 32 years If you consider uniform annual cost values, what is the maximum value of X to make the Project B cheaper. (annual interest rate = %9) 3-A hospital considers a tool for its emergency room usage. The sum of the money to spend on the tool is $95.000. During next 20 years, the tool make hospital to save an annual amount of $ 11.500. After 20 years the tool can be sold for $ 5.000. Please estimate the critical interest rate by trial and error method (take 8 % as initial trial value) 4-A construction company wants to build a 50 housing unit apartment complex and rent them. It is expected that a 90 % occupancy rate. When you consider below financial data, how much rent it has to charge per housing unit to guarantee annual %15 income Land Value 1.000.000 $, Construction Cost 2.500.000 $, Annual Maintenance cost 150.000 $, Real Estate Tax as 5% of total investment cost Analysis Period 25 yıl, Salvage value is only land value 5-A construction company estiamted unit rent cost with 9% annual interest rate with below formula of total cost A (is housing units squaremeters) Total cost (% 9) = 12,87 A+ 89.200* A-¹ a. What is the size that minimizes total cost ? (Use your calculus knowledge) b. What is housing unit size that covers its montly rent? 6- First annual income is $ 150.000 of an hotel whose sales price was $ 2.250.000. Its yearly income will decrease $ 10.000. At the end of 15 years the is expected to be sold for an $ 1.150.000. Please discuss if this is an good investment opportunity for an investor who expects yearly 15% income. 7-You have an investment with 10,5 internal rate of return (IRR). Is the project acceptable if market determined ongoing interest rate is, say, 11 %? Why or Why not? What is the threshold interest rate that makes the project feasible?
