An industrial property generates a triple-net rental income of $100,000 per year. The tenant pays...

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Accounting

An industrial property generates a triple-net rental income of $100,000 per year. The tenant pays all operating expenses. It was purchased for $2,437,500. Using the 80/20 rule, for an investor in the 40% marginal tax bracket, what are the expected cash flows after tax? (the CFAT). Assume this is a cash deal with no debt financing.

Group of answer choices

$88,000

$85,000

$60,000

$80,000

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