Corporation x is considering remodeling a building that it, Finance Basics

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Corporation x is considering remodeling a building that it

Question: Corporation X is considering remodeling a building that it leases to a retail store. The remodeling costs are estimated at $2.15 million. If it goes ahead with the project, the tenant has agreed to pay an additional $750,000 a year in rent for the next 4 years. The discount rate is 13 percent. What is the benefit of the remodeling project to Corporation X?

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