Conduct a financial feasibility study. a. Assuming no borrowing will be required (all equity investment), develop a 30- years (before and after-tax) operating proforma. b. How did you determine income, costs, and expenses? Provide citations to the data used. c. What is your Net Operating Income and After-Tax Cash Flow? d. What is the Net Present Value (NPV) and Internal Rate of Return (IRR)? Use this information below and change NOI and after-tax cash flow if incorrect. Income: The monthly rent income per unit would be about $1,395 based on the average rent in the Southeast Downtown Fresno neighborhood. Since there are 3 units, the monthly income would be $4,185 or $50,220 per year. Costs: Overall, the approximate cost of this project is $1,031,250. The cost can be broken down into the following sections: At $250 per square foot, the cost to build the 3,300 sq ft. triplex will be $825,000. The cost of the land itself will amount to $99,000 at $10.09/ sq ft The soft costs of this triplex will be $206,450 because this is 25% of our propertys value. The property tax would be an estimated $7,673 based on the tax average in California. Expenses: Maintenance expenses are typically 1% of the propertys value which would mean $8,250 per year or $687.50 per month. A utility cost such as water is an estimated monthly average of $40 per unit. Therefore, this utility expense would amount to $120 per month or $1,440 a year. According to the National Solid Wastes Management Association, trash collection will amount to an average of $20 per month or $240 a year. The average rental vacancy rate in Fresno is 2.9% making this annual expense $1,456. c. NOI= $38,834, After-Tax Cash Flow=31,161. Also, the discount rate is 15% for NPV and cash flows are 30 years for IRR