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Given: Gross potential income: $ 4 0 0 , 0 0 0 Net operating income: $ 1 0 0 , 0 0 0 Before tax

Given:
Gross potential income: $400,000
Net operating income: $100,000
Before tax cash flow: $80,000
Capitalization Rate: 10%
What is the market value of the property using the direct capitalization method?
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