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3 years ago

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

1 answer:

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.

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What is profit or loss revaluation?

sweet [91]

Revaluation is used to adjust the book value of a fixed asset to its current market value. ... If a revaluation results in a decrease in the carrying amount of a fixed asset, recognize the decrease in profit or loss

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2 years ago

Read 2 more answers

27. You want to have $1 million in your savings account when you retire. You plan on investing a single lump sum today to fund t

Serjik [45]

Answer:A and C

Explanation:

Interest is compounded in savings accounts and me to reduce the amount that I must deposit today and still have my desired $1 million on the day I retire then I should either, invest in a different account paying a higher rate of interest meaning the invested amount will be compounded at a higher rate thus my initial investment amount requirement reduced. Or, since compounded interest is a function of time, if I retire later, that would mean a longer time for my initial investment to compound to $1 million, thus reducing my initial investment amount requirement.

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2 years ago

to derive a competitive advantage, firms can properly configure hr practices to drive ________ which leads to ________.

Mariulka [41]

When firms configure it HR practices to drive employees which leads to improved Firm performance, then the firm will derive competitive advantage.

In a firm, the Human personnel is saddled with the responsibility of effectively managing and motivating the employee for purpose of achieving productivity.

Competitive advantage of a firm entails an attribute which enables a company to outperform its competitors such as Increasing customer-base over other firms.

Therefore, when the firm HR drives the employees, productivity will be achieved which will then create an advantage of competition over other firms.

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brainly.com/question/17869281

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2 years ago

Home Appliances Co. wants to introduce a new digital display, laser driven iron to the market. The estimated unit sales price is

malfutka [58]

Answer:

The target cost per iron= $83.25

Explanation:

Profit Required = Required Investment * required rate of return

= $ 3,500,000*15%

= $ 525,000

Sales= 300000*85=$25,500,000.00

Less: profit required=$525,000.00

Cost= Sales- Profit

Cost=24,975,000.00

Per Unit Target Cost = Total Cost / Total Units

= $ 24,975,000/ 300,000

= $ 83.25

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3 years ago

Cheng builds replica miniature cabinets. His costs for each cabinet are $28 each. A consultant tells Cheng that the average marg

Masteriza [31]

Answer:

check the calculations below.

You didn´t post the complete information of the exercise, I searched the exercise online and tried to ask the most useful question.

Explanation:

a) current margin = Sale price - Cost

= $42 - $28 = $14 per unit

(b) Selling price if margin is 49%

= Cost / (1-0.49)

= 28 / 0.51

= $55

Profit = 55*49% = 227

= 55/ 0.9

= $61.1

(d) Price to Consumer = Selling price from Chengg + Margin

= 61 + 10 = $71

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3 years ago