The equity dividend rate or cash-on-cash return is often used to examine investment properties. The greatest limits of that ratio include:

Group of answer choices

a. It overlooks changes in interest rates and macroeconomic factors.

b. It overlooks capital expenses like new roofs and HVAC systems.

c. It overlooks mortgage balance paydown and potential capital appreciation.

d. It is ineffective in periods of high, or low, interest rates.