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Question
Consider the table, which summarizes monthly construction draws and sales revenues. What is the percentage of lot sales revenue that needs to be used to repay the loan?
| Month | Construction Draw | Sales Revenue | |||||
| 1 | $ | 200,000 | |||||
| 2 | 150,000 | ||||||
| 3 | 75,000 | ||||||
| 4 | 25,000 | $ | 600,000 | ||||
| Total | $ | 450,000 | $ | 600,000 | |||
| Present value @ 12% | $ | 441,883 | $ | 576,588 | |||
A) 4.0%
B) 75.0%
C) 76.6%
D) 33.3%
Answer
This answer is hidden. It contains 19 characters.
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