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3 years ago

How can a leased fee estate have a value that could be transferred to another party?

Business

1 answer:

Alik [6]3 years ago

5 0

Answer:

Based on different valuation methods to value such estate, the value can be transferred either from a lessee to another or from the lessor to the lessee

Explanation:

Leased Fee Estate

Leased Fee estate represent properties are owned per an individual given out as rent for a particular period of time. The owner of the estate is the lessor and the individual who is renting is the lessee. The lessee takes rent of the property for a period of time for a fee consideration.

It should be noted that while an estate would normally have unlimited or infinite life, a leased fee estate will always have a limited time/life.

Finally, in order to valuate the leased fee estate, the followng can be used

1. The Expected life of the estate based on depreciaton

2. The Nature of use of the estate

3. The period in which the estate will be leased for

4. The cost that will be saved by the owner from the lease.

Once the value is determined, then the value can be transferred either from a lessee to another or from the lessor to the lessee

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Fey Corporation manufactures two models of office chairs, a standard and a deluxe model. The following activity and cost informa

alekssr [168]

Answer:

a) Standard WIP 75,000 debit

factory overhead 75,000 credit

b) applied to deluxe model 28 setups x $ 400 = $ 11,200

c) total overhead to deluxe: 35,200

Explanation:

$\frac{Cost\: Of \:Manufacturing \:Overhead}{Cost \:Driver}= Overhead \:Rate$

expected overhead: 120,000

total labor hours: 375 + 22 = 600

overhead rate: 120,000 / 600 = 200

applied to Standard model: 375 hours x $ 200 = 75,000

overhead cost for setups: $ 20,000

total setups (cost driver) 22 + 28

activity rate: $ 20,000 / 50 setups = $ 400

applied to deluxe model 28 setups x $ 400 = $ 11,200

overhead cost for component: $40,000

total components: 8 + 12 = 20

activity rate: 40,000 / 20= 2,000

applied to deluxe model: 12 x 2,000 = 24,000

Overhead cost into deluxe model under ABC:

setup overhead applied to deluxe model 28 setups x $ 400 = $ 11,200

component overhead applied to deluxe model: 12 x 2,000 = 24,000

Total: 35,200

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3 years ago

____ involves completely disclosing to participants the goals and procedures involved in the study and obtaining their agreement

pychu [463]

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3 years ago

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Kitty [74]

Answer: D. is the answer

Explanation:

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3 years ago

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3 years ago

The strong form of the efficient market hypothesis contends thatA) a select few institutional investors can earn abnormal profit

Anni [7]

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3 years ago