An oil company plans to purchase a piece of vacant land on the corner of two busy streets for $70,000. On properties of this type, the company installs businesses of four different types.
![2122_businesses of four different types.png](https://secure.tutorsglobe.com/CMSImages/2122_businesses of four different types.png)
In each case, the estimated useful life of the improvements is 15 years. The salvage value for each is estimated to be the $70,000 cost of the land. The net annual income, after paying all operating expenses, is projected as follows:
![1757_net annual income.png](https://secure.tutorsglobe.com/CMSImages/1757_net annual income.png)
(a) Construct a choice table for interest rates from 0% to 100%.
(b) If the oil company expects a 10% rate of return on its investments, which plan (if any) should be selected