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harina [27]
3 years ago
11

A property valued at $350,000 has an annual net operating income of $43,750. What is the capitalization rate?

Business
1 answer:
Zinaida [17]3 years ago
5 0

<u>Answer:</u> The capitalization rate is 12.5 %

<u>Explanation:</u>

To calculate the capitalization rate, we use the formula:

\text{Rate of capitalization}=\frac{\text{Income}}{\text{Value of property}}\times 100

We are given:

Net operating income = $ 43,750

Value of property = $ 350,000

Putting values in above equation, we get:

\text{Rate of capitalization}=\frac{43,750}{350,000}\times 100\\\\\text{Rate of capitalization}=12.5\%

Hence, the capitalization rate is 12.5 %

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Validated changes and validated deliverables are the outputs of the monitoring and controlling sub-process of project quality management.

Project quality management is the process in which the quality of all activities is measured continuously  and taking the  corrective action until the desired quality is achieved.

Quality management processes help  the organization to control the cost of a project, after controlling the cost of project standards are established  and  the steps in achieving and confirming those standards are determined.

Effective quality management of a project must lowers the risk of product failure or unsatisfied and unhappy clients.

Project quality management occurs with these three processes:

Quality planning

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8 0
1 year ago
The iPod is a very popular item among people of all ages. The demand is continuing to grow. The iPod's introductory price was ar
Zina [86]

Answer:

E. Skimming Pricing.

Explanation:

This method or strategy is mainly used in marketing strategy for a new market entry especially because of its uniqueness and also when the value of the commodity to be sold is of a very high qualities and importance.

It is also seen as a product pricing strategy by which a firm charges the highest initial price that customers will pay and then lowers it over time. As the demand of the first customers is satisfied and competition enters the market, the firm lowers the price to attract another, more price sensitive segment of the population. The skimming strategy gets its name from "skimming" successive layers of cream, or customer segments, as prices are lowered over time.

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4 years ago
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Networks are proven to be relevant in the context of innovation and entrepreneurship. Explain
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Answer:

Accommodation

Engagement Refinement

Explanation:

In the entrepreneurial ecosystem, networks still remain a popular and important aspect which is often thought and seen as a stepping stone to achieving entrepreneurial greatness. This network simply entails the creation of a circle or set of skilled individuals usually in different strategic areas of specialization relevant to a certain business line or sector. This way embarking on projects tends to be much easier as these networks of people can offer help, tips or together engage in to proffer solution on time. Networks are created usually through meetups and good interpersonal relationships. Having professionals around can speed up processes and. However, networks has to be properly managed usy be being accommodating and warm when approcached; frequent engagement topics and trending issues, including the desire to learn more and measure up to new trends.

8 0
3 years ago
Sunland Company accumulates the following data concerning a proposed capital investment: cash cost $208,780, net annual cash flo
siniylev [52]

The net present value is 12,100. The investment should be made because NPV is positive

The present value of an investment's after-tax cash flows is known as the investment's net present value.

Businesses can make decisions using the NPV technique. It aids in not only comparing projects of the same size but also in determining whether a given investment is profitable or not.

While the net present value has advantages such as taking time worth of money into an account and assisting management in making better decisions, it also has drawbacks such as not taking hidden costs into account and being unable to be utilized by the company to compare projects of various sizes.

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2 years ago
A bank has agreed to lend you $127,800 for a home loan. The loan will be fully amortized over 57 years at 12.98%, with .13 point
ikadub [295]

Answer:

ARP = 13.2184 %

Prepaid interest = $3,057.66

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