Question

Six years ago, an investor purchased a downtown apartment complex and an adjacent piece of land. The current value of the property is $850,000. Of the total, the current value of the apartment complex is $710,000 and the current value of the land is $140,000. Using the straight-line method, assuming an average appreciation of 6% on the land and an average depreciation of 3% on the apartment complex, what was the original value of the property? Round your answer to the nearest dollar.

Answer 1

Answer: $951,064.06 would be your answer.

Step-by-step explanation: Hope that helped!