Interest Peabody Park is a 200-unit apartment complex in Waltham, Massachusetts. On January 1, the owners of

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Interest Peabody Park is a 200-unit apartment complex in Waltham, Massachusetts. On January 1, the owners of the property refinanced their previous ten-year mortgage with a 20-year, 5 percent interest only, $10 million mortgage. What will be the deductible interest expense for the first year of the new mortgage?

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