An investment opportunity having market price

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An investment opportunity having a market price of $1,300,000 is available. Your expectation includes these: first-year gross potential income of $340,000; vacancy and collection losses equal to 10 percent of gross potential income; operating expenses equal to 45 percent of effective gross income; and capital expenditures equal to 15 percent of effective gross income. You could obtain a $1,075,000, 30-year mortgage loan requiring equal monthly payments with interest at 8.5 percent.

d. Monthly and annual payment

Reference no: EM131891830

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