The cash flows below contain the cash flows from a completed real estate investment analysis. Based on the information in the cash flows what is the internal rate of return of the before-tax unlevered cash flows? Purchase $4,569,231 Price Loan $3,198,462 Amount Year 1 3. 4 Leasable 30,000 30,000 30,000 30,000 30,000 Space Average Rent $20 $21.00 $22.05 $23.15 $24.31 Potential $600,000 Gross $630,000 $661,500 $694,575 $729.304 Income Vacancy and 10% 10% 10% 10% 10% Collection Losses ($60,000) ($63,000) ($66,150) ($69,458) ($72,930) Effective $540,000 $567,000 $595,350 $625,118 $656,373 Gross Income Operating Expenses 40% 40% 40% 40% 40% ($216,000) ($226,800)($238,140) ($250,047)($262,549) Capital Expenditures 5% 5% 5% 5% 5% ($27,000) ($28,350) ($29,768) ($31,256) ($32,819) Net Operating Income $297,000 $311,850 $327,443 $343,815 $361,005 Annual Debt ($291,581) ($291,581)($291,581)($291,581)($291,581) Service Before-Tax $5,419 $20,269 $35,861 $52,233 $69,424 Cash Flow Future $5,615,639 Selling Price 3% Selling Expenses ($168,469) Net Sale $5,447,170 Proceeds Amount ($2.620,301) Outstanding Before-Tax Equity Reversion $2,826,869 The cash flows below contain the cash flows from a completed real estate investment analysis. Based on the information in the cash flows what is the internal rate of return of the before-tax unlevered cash flows? Purchase $4,569,231 Price Loan $3,198,462 Amount Year 1 3. 4 Leasable 30,000 30,000 30,000 30,000 30,000 Space Average Rent $20 $21.00 $22.05 $23.15 $24.31 Potential $600,000 Gross $630,000 $661,500 $694,575 $729.304 Income Vacancy and 10% 10% 10% 10% 10% Collection Losses ($60,000) ($63,000) ($66,150) ($69,458) ($72,930) Effective $540,000 $567,000 $595,350 $625,118 $656,373 Gross Income Operating Expenses 40% 40% 40% 40% 40% ($216,000) ($226,800)($238,140) ($250,047)($262,549) Capital Expenditures 5% 5% 5% 5% 5% ($27,000) ($28,350) ($29,768) ($31,256) ($32,819) Net Operating Income $297,000 $311,850 $327,443 $343,815 $361,005 Annual Debt ($291,581) ($291,581)($291,581)($291,581)($291,581) Service Before-Tax $5,419 $20,269 $35,861 $52,233 $69,424 Cash Flow Future $5,615,639 Selling Price 3% Selling Expenses ($168,469) Net Sale $5,447,170 Proceeds Amount ($2.620,301) Outstanding Before-Tax Equity Reversion $2,826,869