Question: Given the following information, create a pro forma and answer the questions using the following information. Assumptions: Number of apartments: 15: Market Rent (per month):

 Given the following information, create a pro forma and answer the

Given the following information, create a pro forma and answer the questions using the following information. Assumptions: Number of apartments: 15: Market Rent (per month): $1,000; Vacancy and Collection Loss: 10% of potential gross income; Operating Expenses: 5% of effective gross income; Capital Expenditures: 10% of effective gross income; Acquisition Price: $1,710,000; LTV=80% @ 7% interest rate with 30 years FRM; 3% up-front fees. Q1. What is the NOI ($)? Q2. What is the Debt Services amount ($)? (Round to the nearest dollar e.g. 100.23 > 100) Q3. What is the Equity Investment ($)? Q4. What is the Equity Dividend Rate? (Round to two significant figures e.g. 0.145 is 0.15) Q5. What is the Cap rate? (Round to two significant figures e.g. 0.145 is 0.15) Blank #1 Blank # 2 Blank #3 Blank #4 Blank #5

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