Robin, Inc., an exempt organization, acquired a building for $400,000 which it will lease to XYZ, Inc., for $40,000 annually. To finance the acquisition of the building, Robin secures a mortgage on it of $250,000. Advise Robin as to whether it has any unrelated debt-financed income or deductions.

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The Answer of Robin, Inc., an exempt organization, acquired a building for $400,000 which it will lease to XYZ, Inc., for $40,000 annually. To finance the acquisition of the building, Robin secures a mortgage on it of $250,000. Advise Robin as to whether it has any unrelated debt-financed income or deductions.