effective gross income. normalized gross income. before-tax cash flow. Question 3 (1 point) A hotel was sold for $5 million. The investors originally purchased the hotel for $3.5 million five years ago. During their ownership of the hotel, the investors had recaptured depreciation of $600,000. Calculate the tax bill on the sale for investors. Assume the tax rate for long-term capital gain is 15% and short-term capital gain 30% and all other tax rate is 25%. $375,000 $380,000 $385,000 $390,000 Question 4 (1 point) An apartment building is purchased on the following terms. Cash down payments $50,000, assumption of second mortgage $60,000 and first mortgage note of $400,000, attorney's fee of $1,500, title policy of $210, recording fee of $50, and