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Kruka [31]
3 years ago
9

Last year your performance was not very good and your performance rating was below average, but this year you have done very wel

l exceeding your performance goals. to your surprise, your boss gives you just an average performance rating. what error has your boss most likely committed?
Business
1 answer:
kakasveta [241]3 years ago
4 0
1. you boss did not set a clear goal of your work expectation. he/she probably still sunk in your last year performance shadow. he/she judged your this year performance in accordance with whose his/her old impression



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Answer:

A. Cap rate = Debt Service/Current market price of asset

= $70,000/$1,000,000 * 100

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B. Debt coverage ratio = Net Operating Income/Debt Service

= $108,000/$70,000

= 1.54

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Explanation:

a) Data and Calculations:

Purchase price of the industrial warehouse = $1 million

Loan to finance acquisition = $700,000

Interest rate = 10%

Term of loan = 30 years

Type of loan repayment = interest-only payments

Annual debt service = $70,000 ($700,000 * 10%)

Effective gross income  $135,000

Operating expenses         27,000

Net Operating Income  $108,000

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Which of the following is true about unethical behavior?
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