Gross Income Multiplier  Net Income Multiplier  Operating Ratio  Break Even  Debt Coverage Ratio  Overall Cap Rate  Equity Dividend Rate  Cash on Cash Return  Present Value of Cash Flows  Net Present Value  Profitability Index  Investment Value  Internal Rate of Return Which option would you select given the following factors: Annual Growth Rate: 4% Required Rate of Return: 8% Tax Rate: 15% Equity Available: $150,000 Loan Rate: 4% Holding Period: 12 Years Annual Price Appreciation: 3.5% per year *For this example, we will not consider the vacancy rate for now. BUSI 622 Page 2 of 2 Units Sales Price Avg Revenue Per Unit/Month Annual Operating Expenses (Interest not included) Duplex 2 $ 125,000.00 $ 615.00 $ 6,642.00 Duplex #2 2 $ 105,000.00 $ 575.00 $ 6,210.00 Fourplex 4 $ 245,000.00 $ 850.00 $ 22,160.00 Apartment Building #1 16 $ 600,000.00 $ 600.00 $ 69,840.00 Apartment Building #2 32 $ 1,200,000.00 $ 695.00 $ 162,096.00 Single Family Home #1 1 $ 189,000.00 $ 1,750.00 $ 11,010.00 Single Family Home #2 1 $ 215,000.00 $ 2,000.00 $ 13,400.00

Gross Income Multiplier Net Income Multiplier Operating Ratio Break Even Debt Coverage Ratio Overall Cap Rate Equity Dividend Rate Cash on Cash Return Present V class=