Fill in the sheet titled “Loan Analysis” but ONLY includecash-flow related to Ann’s loan in the sheet “NPV-IRR”. Leave cellsunrelated to the loan cash flow blank.
(4.a) What is the annualized IRR for Ann’s loan?
(4.b) Is the IRR for Ann’s loan higher or lower than theadvertised loan contract rate?
(4.c) Why? (4.d) Plot Ann’s NPV for Ann’s loan, for discountrates 0%-10%. Copy and paste the chart below.
Inputs Purchase Price Purchasc Costs Loar amout Loan Closing Costs Prepayment Penalty 5%/1%/35/2%/1%/0%, Debt Service NOI
OR
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