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Which of the following statements is FALSE regarding the release price as it relates to a land development of a new housing community and the

  1. Which of the following statements is FALSE regarding the release price as it relates to a land development of a new housing community and the associated sales of lots (parcels)?

    It is usually calculated to pay off the loan when the last lot is sold

    It is usually calculated to pay off the loan before the last lot is sold

    Increasing the release price usually lowers the lenders risk

    Increasing the release price is likely to lower the developers cash flow in the early years

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