Jackie Meridee borrows $400,000 and acquires an income producing property for $400,000. She subsequently sells the property for $250,000 and, without repaying the funds borrowed to acquire the first property, uses the proceeds to acquire two other properties. The cost of property A is $100,000, while the cost of property B is $150,000. How will the $400,000 of borrowing be linked to the two new properties?
Question 6 options: