Jessica Brody is considering purchasing a home for \($200\),000 and flipping it in three years. The expected rent is \($1\),500/month and expenses are \($150\)/month. Mrs. Brody anticipates a rental increase of 2.0% per year, an expense increase of 2.0% per year, and a terminal cap rate in year 3 of 8%. Mrs. Brody expects to borrow 50% from a traditional lender using a conventional 30-year fixed rate mortgage at 3.0%, amortized annually.

If she anticipates a discount rate of 10% and a reinvestment rate of 2%, determine the following: (must develop an annual pro forma showing ALL work). Note: IRR and NPV should be calculated using the HP-12C and not by hand. MIRR is by hand.