How to solve

A property value is $$4,000,000,$ and it has a $$3,000,000$ loan on it$.$ The annual net operating income is $$220,000.$ What is the capitalization rate?

a$.5\mathrm{.}00\%$

b$.5\mathrm{.}25\%$

c$.5\mathrm{.}50\%$

d$.5\mathrm{.}75\%$