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Using the cap rate of Property 3, what selling price should be set for the Subject property? A. $1,092,012 B. 987,098 C. 875,003 D. $593,471
Using the cap rate of Property 3, what selling price should be set for the Subject property?
| A. | $1,092,012 | |
| B. | 987,098 | |
| C. | 875,003 | |
| D. | $593,471 |
Cap rate of property 3 = 10.11
| Annual Net Income | Annual Gross Income | Selling Price | |
| Property 1 | 82,000 | 122,000 | 1,250,600 |
| Property 2 | 75,000 | 111,500 | 1,145,300 |
| Property 3 | 145,000 | 175,000 | 1,433,600 |
| Subject | 60,000 | 108,000 | ? |
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College Accounting A Practical Approach 1-15
Authors: Jeffrey Slater
4th Edition
013142050X, 978-0131420502
