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4. An investment opportunity having a market price of $1,000,000 is available. You could obtain a $750,000, 25-year mortgage loan requiring equal monthly payments with

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4. An investment opportunity having a market price of $1,000,000 is available. You could obtain a $750,000, 25-year mortgage loan requiring equal monthly payments with interest at 7.0 percent. The following operating results are expected during the first year: Effective gross income $200,000 $100,000 $100,000 Less operating expenses and CAPX Net operating income For the first year only, determine the: a. Gross income multiplier. b. Operating expense ratio. c. Monthly and annual mortgage payment. d. Debt coverage ratio. e. Debt yield ratio. f. Overall capitalization rate. g Equity dividend rate

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