Question

"An industrial park is sold to a group of investors in 2002. They plan to hold on to the industrial park because it is a growing area. The reason the investors consider this a long term investment is because of:"

Answer 1

Answer: appreciation potential

Step-by-step explanation:

Answer 2

Investments in things such as an industrial park are done for the long-term mainly because of two reasons:

1. These investments tend to be expensive (require a lot of capital).
2. Because they are expensive, these investments take more time to make a return, and as a result, the investors have to wait, usually a few years, to earn money on them. For this reason, either they are made for the long-term, or are not made at all.