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Use the following information to answer the remaining multiple-choice questions: An investment opportunity having a market price of $2,000,000 is available. You could obtain a

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Use the following information to answer the remaining multiple-choice questions: An investment opportunity having a market price of $2,000,000 is available. You could obtain a $1,400,000, 30-year fully amortizing mortgage loan requiring equal monthly payments with interest at 6.0 percent. The following operating results are expected during the first year. The effective gross income is $450,000 and the operating expenses and CAPX add up to $250,000 combined. 8. What is the gross income multiplier for year one? A. 4.00 B. 4.21 C. 4.44 D. 4.71 9. What is the debt yield ratio for year one? A. 10.94% B. 14.29% C. 15.00%

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