2)

Consider the following. A group of 4 Real Estate graduates decide to pool their funds and purchase a local strip mall. They were able to win the bidding with an offer of $2,000,000.00. The property has a Potential Gross Income of $300,000.00 but has an expected of Vacancy and Bad Debt of 10%. The Operating Expenses are $60,000.00, and Net Operating Income (NOI) is $200,000.00 before taxes and interest. b. What is the Effective Gross Income multiplier? (2 points) c. What is the Net Income Multiplier? (2 points)