If alex sells his house now his capital gain will be a 2, Financial Management

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If alex sells his house now his capital gain will be a 2

Last year Alex bought a house in Atlanta for $900,000. Suppose that Alex paid $225,000 as a down payment and took out a mortgage loan of $675,000 to cover the remaining amount.

Alex's simple leverage ratio is

Suppose that the price of the house rises by 2%.

If Alex sells his house now, his capital gain will be A 2% rise in the price of the house causes a percentage gain of____in Alex's equity.

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Financial Management: If alex sells his house now his capital gain will be a 2

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