Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Use your proforma for FSG Gardens and create a sensitivity table examining the Unlevered IRR. We want to know the impact of changes to Utility
Use your proforma for FSG Gardens and create a sensitivity table examining the Unlevered IRR. We want to know the impact of changes to Utility Escalation by .5% and changes to utility cost per month by $10. Please submit the highlighted squares.
NOTE: The IRR is 7.73%
I am having trouble using a Data Table to get these answers. What Row and Column input do I use? Not sure if info from the main problem is beneficial or not. Utility Escalation is 2%. Utility Cost per month is $144,00 (100 units x $120 x 12)
Unlevered IRR | ||||||
Utility Escalation | ||||||
Utility Cost per Month | 7.73% | 1.0% | 1.5% | 2.0% | 2.5% | 3.0% |
$ 100.00 | 7.86% | 7.80% | 7.74% | 7.67% | 7.61% | |
$ 110.00 | 7.87% | 7.81% | 7.74% | 7.66% | 7.59% | |
$ 120.00 | 7.89% | 7.81% | 7.73% | 7.65% | 7.57% | |
$ 130.00 | 7.90% | 7.82% | 7.73% | 7.64% | 7.55% | |
$ 140.00 | 7.91% | 7.82% | 7.73% | 7.63% | 7.53% |
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started