Yvette buys and sells real estate. two weeks ago, she paid $300,000 for a house on pine street, intending to spend $50,000 on repairs and then sell the house for $400,000. last week, the city government announced a plan to build a new landfill on pine street just down the street from the house yvette purchased. as a result of the city’s announced plan, yvette is weighing two alternatives: she can go ahead with the $50,000 in repairs and then sell the house for $290,000, or she can forgo the repairs and sell the house as it is for $250,000. she should:

She should forgo the repairs.

Explanation:

If she does the repair, the total costs would be:

$300,000+$50,000 = $350,000

And the loss would be:

$290,000 -$350,000  = -$60,000

If she doesn't do the repair, the total costs would be:

$300,000

And the loss would be:

$250,000 -$300,000  = -$50,000

So, if she doesn't do the repairs she minimizes the loss

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