Question: Based on the below data, what is the expected NPV of your investment assuming it was purchased 100% cash. Net operating income $200,000 Sell the

Based on the below data, what is the expected NPV of your investment assuming it was purchased 100% cash.

Net operating income $200,000 Sell the property in five years.

Assume the net operating income increases at 2.25%

Assume the terminal cap rate is 11%

Assume the going in cap rate was 9.5%

Discount rate on similar investments 8%

Bank financing is offered at 7% for 20 years

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