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Keith_Richards [23]
3 years ago
15

A building owner is evaluating the following alternatives for leasing space in an office building for the next five years:

Business
1 answer:
Leno4ka [110]3 years ago
4 0

Answer:

Explanation:

The lease rent that depends  upon CPI rate and operating expenses has more risk than normal increase in value rent alternatives. Reason being that CPI can be increased or decreased in future and this will affect the builder's cashflow.

Likewise, operating expense is also an increase or decrease because the builder's cashflow can increase or decrease .

The risk level of all the four alternatives is shown below

Net lease with steps- Less risky

Net lease with CPI - Highly risky

Gross lease - Moderately risky

Gross lease with CPI - Highly risky

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The internal rate of return is that discount rate that equates the present value of the cash outflows (or costs) with the presen
Paladinen [302]

Answer:

True

Explanation:

The internal rate of return defines that return in which the net present value is zero that means the initial investment is equivalent to the present value of the yearly cash flows after considering the discounting factor

In other words we can say that the net present value is zero

Hence, the given statement is true

7 0
3 years ago
According to the​ "rule of​ 70", how many years will it take for real gdp per capita to double when the growth rate of real gdp
slava [35]

14 Years.

The rule of 70 is a measure of how long it takes for something to double. 70 is divided by the rate of growth or rate of return.

70/5% = 14 years

8 0
3 years ago
, what do you currently know about professionial communication?
xz_007 [3.2K]

Answer:

The term professional communication refers to the various forms of speaking, listening, writing, and responding carried out both in and beyond the workplace, whether in person or electronically.

Explanation:

7 0
3 years ago
As prepaid expenses expire with the passage of time, the correct adjusting entry will be a:
Nonamiya [84]

Answer:

d. debit to an expense account and a credit to an asset account.

Explanation:

When a prepayment is made, the entries recorded are Debit prepaid expense and credit Cash account to recognize the amount prepaid.

As time passes and the expenses are incurred, the entries required are debit expense account and credit prepaid expense (an asset) with the amount of the expense incurred as a result of the passage of time.

4 0
3 years ago
Fill in the blanks: direct deposit typically refers to your ______ sending your ______ electronically to your bank account.
d1i1m1o1n [39]

Direct deposit typically refers to your <u>employer</u> sending your<u> paycheck </u>electronically to your bank account.

<h3>What is direct deposit?</h3>

Direct deposit can be defined as the way in which your employer directly deposit your salary into your bank account electronically.

Most companies or organization tend to make use of direct deposit system to pay their employee salary or paycheck instead of giving them cash or  using check .

Inconclusion Direct deposit typically refers to your <u>employer</u> sending your<u> paycheck </u>electronically to your bank account.

Learn more about direct deposit here:brainly.com/question/3044615

6 0
2 years ago
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