John is looking to start a car dealership. If the initial investment is $500,000 and the expected profits are $25,000 per year indefinitely, is it worthwhile if the discount rate is 5 percent? What range of discount rates makes the business worthwhile and what range does of discount rates does not?

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The Answer of John is looking to start a car dealership. If the initial investment is $500,000 and the expected profits are $25,000 per year indefinitely, is it worthwhile if the discount rate is 5 percent? What range of discount rates makes the business worthwhile and what range does of discount rates does not?

John Is Looking to Start a Car Dealership