What is the internal rate of return (IRR) on an investment w…

What is the internal rate of return (IRR) on an investment with the following cash flows?   Year Net Income Purchase Price $4,000,000 1 $250,000 2 $300,000 3 $350,000 4 $400,000 5 $450,000 Resale $4,750,000 (net of costs)   Round your answer to the nearest 0.25%

The subject property has a potential gross income (PGI) of $…

The subject property has a potential gross income (PGI) of $100,000, a vacancy and collection loss of 7%, fixed expenses of $35,000, variable expenses of $25,000, and reserves for replacement of $7,000.  Recent sales of very similar properties in this market suggest that a capitalization rate of 12.0% is appropriate.  The capitalization rates were extracted from sales in which the prices was divided into the estimate of net operating income from the broker without reserves.  What is the market value of the subject property?

The subject property has a level income of $30,000.  In the…

The subject property has a level income of $30,000.  In the mortgage market for this type of property, the best rate available is 9.0% per year with monthly payments, 25- year amortization, and a maximum 75% loan-to=value.  The equity capitalization rate is 15%.  What is the market value?  (Use the band-of-investment technique and round your answer to the nearest $1,000.  You will need a financial calculator to answer this question.)