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* I know that this is a long question to ask, but if you can help me on this, I will appreciate it so much
I know that this is a long question to ask, but if you can help me on this, I will appreciate it so much and give you a thumbs up no matter what the results is gonna be If you feel like you miss a certain information in order to complete the calculation, please feel free to make up any number.
Scenario:
We are analyzing a potential investment multiuse property next to a university. The first floor is a convenience store and caf the second floor is residential.
Because the investor wants fixed monthly payments, there are only two options under consideration for financing: FixedRate Commercial Loan and Interestonly. We received the investors tax information and can calculate the tax effects to the cash flows.
Please do all calculations in an Excel format for the next years
Questions:
Calculate the loan information for both loan options Loan amount, annual debt service, and balance at end of holding period
calculate the tax liabilities for Operating Cash Flows and Sale of Property Cash Flows for the three loan options no loan, Fixedrate loan, and Interestonly loan.
Add the tax liabilities to the existing DCF Unleveraged worksheet and calculate the aftertax cash
flows and IRR.
Add a Summary Table for these three points: BTIRR, ATIRR and Partitioned IRR
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