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. A property is sold for $200,000. Typical financing terms are an 85% fully amortizing loan with a 10 % interest rate over 15 years

. A property is sold for $200,000. Typical financing terms are an 85% fully amortizing loan with a 10 % interest rate over 15 years with monthly payments . If the before - tax cash flow is $2,000, what is the overall capitalization rate?

(A) 10.96%

(B) 11.96%

(D) 9.96%

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