1: Operational Net Cash Flow
			Year 0	Year 1	Year 2	Year 3	Year 4	Year 5	Year 6	Year 7	Year 8	Year 9	Year 10
Initial Cash Outlay	Note	($468,000.00)
Potential Revenue	a		$30,879.00	$36,437.22	$42,995.92	$50,735.19	$59,867.52	$70,643.67	$83,359.53	$98,364.25	$116,069.81	$136,962.38
	Less Vacancy or Turnover	b		($1,852.74)	($2,186.23)	($2,579.76)	($3,044.11)	($3,592.05)	($4,238.62)	($5,001.57)	($5,901.85)	($6,964.19)	($8,217.74)
	Less Management Fee	c		($2,470.32)	($2,914.98)	($3,439.67)	($4,058.81)	($4,789.40)	($5,651.49)	($6,668.76)	($7,869.14)	($9,285.59)	($10,956.99)
	Less Property Tax	d
=	Net Revenue	e=a-b-c-d	$26,555.94	$31,336.01	$36,976.49	$43,632.26	$51,486.07	$60,753.56	$71,689.20	$84,593.25	$99,820.04	$117,787.65
	Less Depreciation	f=d-e		($15,000.00)	($14,500.00)	($14,016.67)	($13,549.44)	($13,097.80)	($12,661.20)	($12,239.16)	($11,831.19)	($11,436.82)	($11,055.59)
=	Income from Operations	g		$11,555.94	$16,836.01	$22,959.82	$30,082.81	$38,388.27	$48,092.35	$59,450.04	$72,762.06	$88,383.22	$106,732.06
	Less Interest Expense on Loan	h		($9,570.00)	($9,170.60)	($8,745.72)	($8,293.73)	($7,812.91)	($7,301.41)	($6,757.28)	($6,178.43)	($5,562.64)	($4,907.58)
=	Taxable Income	i=g-h		$1,985.94	$7,665.41	$14,214.10	$21,789.08	$30,575.36	$40,790.94	$52,692.76	$66,583.64	$82,820.58	$101,824.48
	Less Income taxes	j		($238.31)	($919.85)	($1,705.69)	($2,614.69)	($3,669.04)	($4,894.91)	($6,323.13)	($7,990.04)	($9,938.47)	($12,218.94)
=	Net Income	k=i-j		$1,747.63	$6,745.56	$12,508.41	$19,174.39	$26,906.32	$35,896.03	$46,369.63	$58,593.60	$72,882.11	$89,605.54
	Less Principal Payments	l		($6,260.16)	($6,659.56)	($7,084.44)	($7,536.43)	($8,017.25)	($8,528.75)	($9,072.89)	($9,651.74)	($10,267.52)	($10,922.59)
	Add back Depreciation	f		$15,000.00	$14,500.00	$14,016.67	$13,549.44	$13,097.80	$12,661.20	$12,239.16	$11,831.19	$11,436.82	$11,055.59
	Terminal Value	t											$4,263,053.68
=	Net Cash Flow from Project	m=k-l+f+t	($468,000.00)	$10,487.47	$14,586.00	$19,440.64	$25,187.41	$31,986.86	$40,028.48	$49,535.90	$60,773.06	$74,051.41	$4,352,792.23
	Discount		1.0000	0.8333	0.6944	0.5787	0.4823	0.4019	0.3349	0.2791	0.2326	0.1938	0.1615
	Discounted Cash Flow		($468,000.00)	$8,739.55	$10,129.17	$11,250.37	$12,146.71	$12,854.80	$13,405.46	$13,824.56	$14,133.87	$14,351.66	$703,000.25
	Accumulative Discounted Cash Flow	($468,000.00)	($459,260.45)	($449,131.28)	($437,880.91)	($425,734.21)	($412,879.40)	($399,473.95)	($385,649.38)	($371,515.51)	($357,163.86)	$345,836.39
	Net Present Value or NPV		$345,836.39	=NPV(Rate_RR,E18:N18)+D18
	IRR		27.39%	=IRR(D18:N18)
	MIRR		26.27%	=MIRR(D18:N18,Rate_RR,Rate_ReInvt)
	EVA=MIRR - Rate_RR		6.27%	=D26-Rate_RR
	Discounted Payback Period		8.1 years	=INTERCEPT(D2:N2,D22:N22)

Table 2: Terminal Cash Flow

Sales Value (Year 10 perpetual value)

a (see Table 3)

$5,248,989.99

=Table3!D16/Rate_Cap

Original Loan

b

$150,000.00

Less Principal Payments

c

($84,001.32)

=

Outstanding Loan Balance

d=b-c

$65,998.68

=

Cash After Loan Payoff

e=a-d

$5,182,991.31

Basis & Taxable Gains (or Loss)

Cost Basis

f

$468,000.00

Less Accumulated Depreciation

g

($129,387.87)

Taxable Gain (or Loss)

h=e-(f-g)

$4,844,379.18

Tax Rate on Long Term Capital Gain

i

12.0%

Less Taxes on Gain (or Loss)

j=h*i

($581,325.50)

=

Net Cash Flow from Sales

k=h-j

$4,263,053.68

Table 3: Year 10 Operational Net Cash Flow
Potential Revenue	a	$136,962.38	This value came from Table1, 10th Year potential revenue
	Less Vacancy or Turnover	b	($8,217.74)
	Less Management Fee	c	($10,956.99)
	Less Property Tax	d
=	Net Revenue	e=a-b-c-d	$117,787.65
	Less Depreciation	f=d-e	($11,055.59)
=	Income from Operations	f=d-e	$106,732.06
	Less Interest Expense on Loan	g=0 (none)
=	Taxable Income	h=f-g	$106,732.06
	Less Income taxes	i	($12,807.85)
=	Net Income	j=h-i	$93,924.21
	Less Principal Payments	k=0 (none)
	Add Back Depreciation	e	$11,055.59
=	Net Cash Flow from Project	l=j-k+e	$104,979.80	Adjusted net cash flowis to calculatePerpetual Value in Table2, D3

Please provide in depth explanation for each table need proper reason and explanation of each point

 question,  Is this a good investment? Is the level of debt adequate? overall thoughts about the numbers)

2. Table 1- Operational Net Cash Flow
4. Table 2- Terminal Cash Flow
6. Table 3- Year 10 Operational Net Cash Flow