Question: Question 70 (1 point) The cash flows below contain the Year 1 cash flows for a potential real estate investment. Base on these numbers, what

Question 70 (1 point) The cash flows below contain the Year

Question 70 (1 point) The cash flows below contain the Year 1 cash flows for a potential real estate investment. Base on these numbers, what is the property's debt coverage ratio? Year 1 Number of Units 75 Average Rent $800 Potential Gross Income $720,000 Vacancy and Collection Losses ($72,000) Effective Gross Income $648,000 Operating Expenses ($243.389) Capital Expenditures ($19,440) Net Operating Income $385,171 Annual Debt Service ($323,301) Before-Tax Cash Flow $61.870

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