Answer:
$363,000
Explanation:
Calculation for the property’s indicate market value.
First step
Operating Statement
PGI: $66,000
(10 units x $550 x 12 month )
Less: Vacancy Loss(3,300)
(5%*66,000)
EGI:62,700
Less: Operating Expenses
Power$2,200
Heat1,700
Janitor4,600
Water3,700
Maintenance4,800
Management3,000
Reserve for CAPX2,800
Total Operating Expenses$22,800
Net Operating Income$39,900
(62,700-22,800)
Second step is to find the property’s indicate market value.
Using this formula
Market Value=NOI/ Ro
Let plug in the formula
Market Value=$39,900/11.0%
Market Value=$363,000
Therefore the property’s indicate market value is
$363,000
Answer:
Journal Entries
Date Account Titles and Explanation Debit Credit
April 30 Salaries expenses $4,800
($12,000/5) * 2
Salaries payable $4,800
(To record the Accrual of salaries expense)
May 30 Salaries Expenses
($12,000/5)*3 $7,200
Salaries payable $4,800
Cash $12,000
(To record the payment of salaries expenses)
I think the correct answer would be false. The automobile will remain the primary source of transportation. As we can see today, almost all of the people use automobile to go to different places. As we see in the road, different vehicles are present. Also, the automobile industry, recently, is a booming industry. We have different models, colors, brands and specifications of the vehicles. I think the use of automobiles as the primary source of transportation would still go for many years as it is the most convenient and comfortable transportation as compared to others like bicycle, train and motorcycle.
Answer:
B
Explanation:
Its reserve increase by less than 50 because of reserve requirement
