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What will be the maximum loan granted on a commercial building with a lending value of $ 5 , 5 5 0 , 0 0

What will be the maximum loan granted on a commercial building with a lending value of $5,550,000
and yielding a net operating income of $360,000 per year, where the lender requires a debt coverage ratio
of 1.35 and a 60% loan-to-value ratio? The loan will be amortized over 20 years with annual payments
and the interest rate is 7% per annum, compounded annually. Round your answer to the nearest $1,000.
(1) $2,814,000
(2) $3,330,000
(3) $3,592,000
(4) $2,825,000
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