(Answered) Question show that with riskless fixed-rate debt the

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Question: Show that with riskless, fixed-rate debt the variability of the equity investor's return is equal to the leverage ratio times the variability of the property returns, where variability is measured by standard deviation of returns. How much more variable are ex ante equity investor returns relative to ex ante property returns if the investor obtains a mortgage with a 75% LTV?

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