1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Schach [20]
3 years ago
8

For beginning real-estate investors what are some advantages of REITs rather than direct purchase of property?

Business
1 answer:
amid [387]3 years ago
3 0
REITs keep you liquid and may be more cost efficient. Entering in a REIT also costs lower, and an individual can invest in a fund for less than 1,000 USD. It's kind of like buying into a stock too, in a sense that you can sell your REIT shares at your leisure. 

On one hand, direct real estate investment gives you more power over your finances as there is no fund manager - you are the one in charge and you decide who can rent and live in your property. Some say that investment returns are also bigger should you go for direct real estate. However, it should be noted that you're putting in a bigger amount (roughly upwards 100,000 USD - which few people may be ready to shell out) just to get started on direct property investment versus about USD 1,000 into REIT. 

At the end of the day, it's up to the investor to decide what sort of risk you're comfortable with. 
You might be interested in
Applicants for positions at a product distribution site are required to demonstrate the ability to drive a forklift and operate
FromTheMoon [43]

Answer:

The correct answer is b. recruitment and selection .

Explanation:

In the recruitment process, all the information of the employee, his experience, studies, skills, hobbies, family circle, expectations, aspirations, etc. is collected. From this moment on, a series of tests are carried out to determine that what has been previously stated is true, as well as simulating situations to know their behavior in the face of challenges of a different nature. In the particular case, technical skills in forklift driving and machine skills are required, which requires verification and practice processes to determine the suitability of the candidate to successfully execute this position.

3 0
3 years ago
6. Suppose that the returns on the stock fund presented in Spreadsheet 6.1 were 240%, 214%, 17%, and 33% in the four scenarios.
Basile [38]

Answer:

Explanation:

Base on the scenario been described in the question, stock variance refers to the volatility that arises from the average. Volatility shows the degree of risk that will be helpful in determining the level of risk an investor should take while purchasing a particular security.

5 0
3 years ago
Flounder Company had the following stockholders’ equity as of January 1, 2020. Common stock, $5 par value, 20,700 shares issued
MAVERICK [17]

Answer and Explanation:

Date        Account Title and Explanation                            Debit          Credit

Feb 1     Treasury Stock (2000*$19)                                     $38,000

             Cash (2000*$19)                                                                       $38,000

              (Repurchased 2,000 treasury stock @ $19 per)

Mar 1     Cash (870*$17)                                                          $14,790

             Retained Earning {870*($19-$17)}                              $1,740

             Treasury Stock(870*$19)                                                           $16,530

             (Reissued 870 out of 2000 treasury stock @ $17 per)

Mar 18   Cash (530*$13)                                                           $6,890

              Retained Earning {530*($19-$13)}                             $3,180

              Treasury Stock(530*$19)                                                         $10,070

              (Reissued 530 out of 2000 treasury stock @ $13 per)

Apr 22  Cash (510*$21)                                                              $10,710

             Treasury Stock(510*$19)                                                            $9,690

             Paid in Capital from Treasury Stock{510*($21-$19)}                 $1,020

             (Reissued 510 out of 2000 treasury stock @ $17 per)  

 

NOTE : loss of sale should be charges from Retained Earning.

7 0
3 years ago
Recher Corporation uses part Q89 in one of its products. The company's Accounting Department reports the following costs of prod
luda_lava [24]
Yes, basically I have no Idea what you talking about. I heard that if you answer questions you can ask more. thanks.
6 0
2 years ago
An investment project provides cash inflows of $600 per year for eight years.
I am Lyosha [343]

Answer:

(i) 2.71 years

(ii) 5.38 years

(iii) Never or 0

Explanation:

1. Payback period:

= Initial cost ÷ cash inflows

= 1625 ÷ 600

= 2.71 years(Approx).

2. Payback period:

= Initial cost ÷ cash inflows

= 3225 ÷ 600

= 5.38 years(Approx).

3. The payback period for an initial cost of $5,100 is a little trickier.

Notice that the total cash inflows after eight years will be:

= 8 × $600

= $4,800

Payback period

= Initial cost ÷ cash inflows

= 5100 ÷ 600

= 8.5

This answer does not make sense since the cash flows stop after eight years, so again, we must conclude the payback period is never.

7 0
3 years ago
Other questions:
  • The Evanstonian is an upscale independent hotel that caters to both business and leisure travelers. On average, one-third of the
    15·1 answer
  • Sales total 50,000 units a year. The statues are finished either rough or polished, with an average demand of 60% rough and 40%
    5·1 answer
  • Of the following efficient market hypotheses, researchers have stated that markets are somewhat efficient in the ____________ se
    12·1 answer
  • Elements within the requirements listing tables that should be reviewed annually under the internal control program will include
    7·2 answers
  • __________ is a measure of the probability and severity of a loss event taking place.
    14·1 answer
  • Restaurant A uses 60 bags of potatoes each month. The potatoes are purchased from a supplier for a price of $80 per bag and an o
    8·1 answer
  • When the sequel to Star Wars: The Force Awakens eventually shows up on their regular television networks, this group might watch
    14·2 answers
  • Heidi Luking has discovered that several of the sites she has visited recently downloaded small filesto her computer's hard driv
    12·1 answer
  • DL variances
    12·1 answer
  • When your superior offers you a raise if you will perform additional work beyond the requirements of your job, he/she is exercis
    10·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!