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A retail shopping center was purchased in 2 0 1 6 for $ 2 . 1 million in cash. During the next four years the

A retail shopping center was purchased in 2016 for $2.1 million in cash. During the next four years the property appreciated at 4 percent per year. Annual depreciation allowance is $16,000 per year. At the end of year 4, the property is sold; selling expenses are 8 percent. What is the after-tax equity reversion for an investor with an income tax rate of 28 percent, a capital gains tax rate of 20 percent and deprecation recapture of tax rate of 25 percent?

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