At what rate must rental cost increase each year

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Question - You are considering purchasing a warehouse. The cost to purchase the warehouse is $491,000. Renting the equivalent space costs $20,200 per year. If the annual interest rate is 5.8%?, at what rate must rental cost increase each year to make the cost of renting comparable to? purchasing? Assume that the rent will be paid at the end of each year.

Reference no: EM133172766

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