Question: Using the Net Operating Income / Cap Rate = Value formula, given the following information, calculate the overall capitalization rate. Sales price: $1,200,000. Potential Gross

Using the Net Operating Income / Cap Rate = Value formula, given the following information, calculate the overall capitalization rate. 

Sales price: $1,200,000. 
Potential Gross Income: $250,000. 
Vacancy and Collection Losses: $60,000. 
Operating Expenses: $70,000.


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