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Question 27 and 28 below use the following information: You purchase a small office building for $750,000 and then sell it for $818,000 a few

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Question 27 and 28 below use the following information: You purchase a small office building for $750,000 and then sell it for $818,000 a few months later. 27. What is the ROI of this investment? a) 8.7% b) 9.1% c) 10.7% d) 17.3% 28. You borrow to purchase the property and your interest rate is 7%, which is lower than the ROI you calculate in Question 27 above. This situation is called: a) neutral leverage b) unfavorable leverage c) positive leverage d) negative leverage

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