5.1.8 Suppose Y = 1,000,000 in Exercise 5.1.7. Apply various approxi- mation methods to find the yield rate in the form i(l2). *5.1.7 Smith buys an investment property for 900,000 by making a down payment of 150,000 and taking a loan for 750,000. Starting one month after the loan is made Smith must make monthly loan pay- ments, but he also receives monthly rental payments, set for 2 years such that his net outlay per month is 1200. In addition there are taxes of 10,000 payable 6 months after the loan is made and annually the- reafter as long as Smith owns the property. Two years after the orig- inal purchase date Smith sells the property for Y 2 741,200, out of which he must pay the balance of 741,200 on the loan. 5.1.8 Suppose Y = 1,000,000 in Exercise 5.1.7. Apply various approxi- mation methods to find the yield rate in the form i(l2). *5.1.7 Smith buys an investment property for 900,000 by making a down payment of 150,000 and taking a loan for 750,000. Starting one month after the loan is made Smith must make monthly loan pay- ments, but he also receives monthly rental payments, set for 2 years such that his net outlay per month is 1200. In addition there are taxes of 10,000 payable 6 months after the loan is made and annually the- reafter as long as Smith owns the property. Two years after the orig- inal purchase date Smith sells the property for Y 2 741,200, out of which he must pay the balance of 741,200 on the loan