nsidering apai following assumptions are made: . . The purchase price is $1,000,000. Potential gross income (PGI) for the first year of operations is projected to be $171,000. PGI is expected to increase at 4 percent per year. No vacancies are expected. Operating expenses are estimated at 35 percent of effective gross income. Ignore capital expenditures. . The market value of the investment is expected to increase 4 percent per year. Selling expenses will be 4 percent. The holding period is 4 years. The appropriate unlevered rate of return to discount projected NOIS and the projected NSP is 12 percent. .The required levered rate of return is 14 percent. . 70 percent of the acquisition price can be borrowed with a 30- year, monthly payment mortgage. The annual interest rate on the mortgage will be 8.0 percent. . Financing costs will equal 2 percent of the loan amount. . There are no prepayment penalties. What is the DCR?