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An investor purchased an apartment building that generates $200,000 in annual net operating income. The apartment was purchased for $2,500,000. The investor expects to receive

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An investor purchased an apartment building that generates $200,000 in annual net operating income. The apartment was purchased for $2,500,000. The investor expects to receive $75,000 annually, and a 10.0% return on equily. What is the marigage capitalization rato? A. 6.75% B. 7.14% C. 7.31% D. 8.14%

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