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Which of the following statements regarding cap rates on commercial real estate investments is the most correct? Group of answer choices Cap rates vary inversely

Which of the following statements regarding cap rates on commercial real estate investments is the most correct?
Group of answer choices
Cap rates vary inversely (i.e. move in the opposite direction) with the perceived risk of the investment.
Cap rates vary positively (i.e. move in the same direction) with the perceived risk of the investment.
Cap rates tend to decrease when yields on long-term Treasury securities increase.
Cap rates tend to increase when the expected growth rate in net rental income increases.

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