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Calculate the Leveraged IRR given the following information: Cash Flow Available for Investors and Debt Service Yr1: $100,000 Cash Flow Available for Investors and Debt
Calculate the Leveraged IRR given the following information:
- Cash Flow Available for Investors and Debt Service Yr1: $100,000
- Cash Flow Available for Investors and Debt Service Yr2-10: Year 1 Cash Flow times 2% annually. In other words, CF grows at 2% annually.
- Loan Amount: $750,000
- Loan Interest Rate: 6%
- Loan Amortization Period: 25-years
- Initial Equity Investment: $250,000
- Discount rate 6%
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