You buy a rental property for $250,000, paying $75,000 in cash and borrowing the rest. The net

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You buy a rental property for $250,000, paying $75,000 in cash and borrowing the rest. The net rental income the first year is $14,000 and, after one year, the property is worth $260,000. Total interest paid in the first year is $8,700.

What is your annual rate of return on this investment?

Related Book For answer-question

Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

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Posted Date: Jun 13, 2023 02:35 AM

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You buy a rental property for $250,000, paying $75,000 in cash and borrowing the rest. The net

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Given information Initial investment 250000 Cash paid 75000 Borrowed amount Ini... View the full answer

Income Tax Fundamentals 2013

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