Suppose the mayor proposes a project that will cost $200,000 today, $100,000 next year and 15,000 to dispose of it in ten years when the project is discontinued. Once finished three years from today, it is expected to generate a net income of 40,000 per year until it is discontinued. Does the proposed project make sense at a discount rate of 0%? How about 2%, 4% or 6 %?

Awidower devised his fee simple interest in his residence as follows: “to my daughter for life, then to my oldest grandchild who survives her.” at the time of the widower’s death, he was survived by his only two children, a son and a daughter, and by one grandchild, his daughter’s son. a short time later, the daughter together with her son entered into a contract to sell the residence in fee simple to a buyer. the applicable jurisdiction continues to follow the common law rule against perpetuities, but has abrogated the rule in shelley’s case. at the closing, the buyer refused to purchase the residence. can the sellers compel the buyer to do so?

Choose the statement that is incorrect. a. search activity occurs only in markets where there is a shortage. b. when a price is regulated and there is a shortage, search activity increases. c. the time spent looking for someone with whom to do business is called search activity. d. the opportunity cost of a good is equal to its price plus the value of the search time spent finding the good.

When the amount for land is 36,000 and the amount paid for expenses is 10,000, the balance of total asset is