Finance
A Maine commercial lender requires a debt coverage ratio (DCR) of at least 1.25. A property has an annual NOI of $75,000. The maximum annual debt service the lender will approve is:
A$75,000
B$60,000✓ Correct
C$93,750
D$56,250
Explanation
DCR = NOI ÷ Debt service. Minimum DCR = 1.
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