Which Statement Is True Ex Ante

Multiple Choice

Which statement is true ex ante?

A) Leverage normally increases the owner's income return (cash yield) if you pay market value for the property.
B) Leverage normally increases the owner's income return (cash yield) if you pay more than market value for the property.
C) Leverage normally increases the owner's total return (including appreciation) if you pay market value for the property.
D) Leverage normally increases the owner's total return (including appreciation) if you pay more than market value for the property.