Assume an investment of $1,000 is made in Time 0 and held for 5 years. There are annual cash flows of $100. If there is an 8% Annual Preferred Return rate which is cumulative and non-compounding, and the sale of the investment generates $2,000 in net proceeds at the end of Year 5, what is the Total Preferred Return for the investment?

Real Estate Financial Modeling / Questions / Assume an investment of $1,000 is made in Time 0 and held for 5 years. There are annual cash flows of $100. If there is an 8% Annual Preferred Return rate which is cumulative and non-compounding, and the sale of the investment generates $2,000 in net proceeds at the end of Year 5, what is the Total Preferred Return for the investment?

Jul 03