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Radda [10]
2 years ago
6

When calculating the net operating income of a property, it is important to identify any expenses that will be incurred in attem

pts to maintain the property. All of the following would be considered operating expenses EXCEPT.
A. Property taxes
B. Property insurance premiums
C. Mortgage payments
D. Utility expenses
Business
1 answer:
Fantom [35]2 years ago
6 0

Answer:

The correct answer is letter "C": Mortgage payments.

Explanation:

Net Operating Income or NOI reflects income after operating expenses deducted but before income taxes and interest are deducted. If the result is a positive value it is called <em>Net Operating Income</em>. If the figure is negative, it is referred to as <em>Net Operating Loss</em>.

Net operating income is often used to calculate real estate income, such as residential properties or commercial properties. <em>NOI is calculated by determining the Gross Operating Income (Gross potential income minus vacancy and credit loss) and subtracting the operating expenses (maintenance, fees, and insurance). </em>

<em> </em>

Thus, <em>mortgage payments are not considered in the calculation of the NOI.</em>

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Diggin Tools just issued new preferred stock, which sold for $85 in the stock markets. Holders of the stock will receive an annu
lys-0071 [83]

Answer:

c. 11.70 percent

Explanation:

The computation of the cost of preferred stock is shown below:

= Annual dividend ÷ Sale price of preferred stock × (1 - flotation cost)

= $9.35 ÷ $85 × (1 - 6%)

=  $9.35 ÷ $79.9

= 11.70%

We ignored the marginal tax rate i.e 30%. In the case of preferred stock, the flotation cost would be deducted. We consider all the things that are given in the question

3 0
3 years ago
In what way does the IDP promote an integrated approach to the planning of municipal service delivery for development
allochka39001 [22]

Integrated Development Planning is primarily based on community desires and priorities. Communities have the opportunity to take part in figuring out their maximum critical needs.

<h3>What is municipal included Development Planning?</h3>

An Integrated Development Plan is a notable plan for a place that offers a normal framework for improvement.

It targets to coordinate the activities of the neighborhood and different spheres of presidency in a coherent plan to improve the quality of life for all of the human beings dwelling in a place.

Thus, the IDP system encourages all stakeholders who are living and behavior enterprises inside a municipal location to take part withinside the training and implementation of the improvement plan.

learn more about  Integrated Development Plan here:

brainly.com/question/988326

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4 0
2 years ago
The following events apply to Lewis and Harper, a public accounting firm, for the Year 1 accounting period: Performed $64,500 of
charle [14.2K]

Answer:

a) I used an excel spreadsheet since there is not enough room here.

b) $69,000

c) $14,500

d) $14,000

f) $57,800

g) $59,500  

Download pdf
8 0
3 years ago
Arlington Company is constructing a building. Construction began on January 1 and was completed on December 31. Expenditures wer
yaroslaw [1]

Answer:

b. 10.65%

capitalized interest

d. $704,415

actual interest

a. $1,758,000

interest expense

c. $1,053,585

Explanation:

the average cost of debt for general funds:

4,800,000 x 10% = 480,000

9,000,000 x 11% = 990,000

13,800,000            1,470,000

1,470,000 / 13,800,000 = 10.65%

<u>capitalized fund:</u>

4,800,000 x 10/12= 4,000,000‬

3,960,000 x 7/12 = 2,310,000

total                         6,310,000

specifit borrowing: 2,400,000 x 12% = 288,000

remainder              3910000 x 10.65% = 416,415

                                     capitalized cost 704,415

<u>actual interest:</u>

1,470,000 + 288,000 = 1,758,000

<u>interest expense</u>

1,758,000 - 704,415 = 1,053,585

4 0
2 years ago
Read 2 more answers
If a computer virus spreads rapidly through a company's computer system and threatens to shut down all internal and external lin
lorasvet [3.4K]
If a computer virus spreads rapidly through a company's computer system and threatens to shut down all internal and external lines of communication, the company will likely put a contingency <span>plan into effect. 
</span>A contingency <span>plan is part of the risk management that deals with risks that</span> have catastrophic consequences. In this case the computer virus is a risk with catastrophic consequences: shut down communication. 
6 0
2 years ago
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