Question: An investment opportunity having a market price of 1 000 000 is

An investment opportunity having a market price of $1,000,000 is available. You could obtain a $750,000, 25-year mortgage loan requiring equal monthly payments with interest at 7.0 percent. The following operating results are expected during the first year.
Effective gross income ........... $200,000
Less operating expenses and CAPX ......... $100,000
Net operating income ............. $100,000
For the first year only, determine the:
a. Gross income multiplier
b. Operating expense ratio (including CAPX)
c. Monthly and annual payment
d. Debt coverage ratio
e. Overall capitalization rate
f. Equity dividend rate




Sale on SolutionInn
Sales0
Views189
Comments
  • CreatedAugust 26, 2013
  • Files Included
Post your question
5000