1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
Sloan [31]
4 years ago
15

Suppose that you are attempting to value an income-producing property using the direct capitalization approach. Using data from

comparable properties, you have determined the overall capitalization rate to be 11.44%. If the projected first-year net operating income (NOI) for the subject property is $44,500, what is the indicated value of the subject using direct capitalization?
Business
1 answer:
Licemer1 [7]4 years ago
5 0

Answer:

Based on the calculation made, the indicated value is $3,889.86014

Explanation:

Using direct capitalization method, indicated value can be calculated using the formula below:

Value = Annual net operating income NOI/Capitalization rate  

         = $44500/11.44%

Value= $3,889.86014

Based on the calculation made above, the indicated value is $3,889.86014.

You might be interested in
The tax assessment ratio for a house valued at $250,000 is 80%. If the tax rate is $2.00 per $100 what is the annual tax?
andrey2020 [161]

Answer: $5,000

Explanation:

given data:

tax ratio = 80%

valuation of the house = $250,000

tax rate = $2/$100.

solution:

total annual tax

= $250,000 /$100

= $2500

total tax rate = $2/$100

= $2 * $2,500

= $5,000.

therefore, the total tax due to be payed annually is $5000. This would have not been the case if it has been 80% generally.

8 0
4 years ago
Halverstein Company's outstanding stock consists of 7,000 shares of cumulative 5% preferred stock with a $10 par value and 3,000
Alisiya [41]

Answer:

$3,500 preferred; $2,500 common.

$3,000 preferred; $3,000 common.

$0 preferred; $6,000 common.

$4,200 preferred; $1,800 common.

$6,000 preferred; $0 common.

4 0
3 years ago
Agrigro, inc., sells hybrid seed to farms and other agricultural enterprises. brandon buys and plants agrigro seed on his countr
KiRa [710]
<span>Due to the defect, which was something either caused by or for which the company would be solely responsible for, Brandon suffered some sort of damage or harm. Weather it was physically, emotionally or financially, these are all ways the damaged product harmed the customer.</span>
3 0
4 years ago
Two people, each of whom has two children, are getting married, and they are buying a house together. They ask the real estate p
Nostrana [21]

Suggesting that they consult with an attorney is the most appropriate advice which the real estate professional should offer.

<h3>Who is an Attorney?</h3>

This is a professional who practices law and is usually involved in real estate matters through documentation of transfer of ownership.

The transfer of ownership helps to prevent issues in the future and shows the land was legally acquired which is why Attorney is the most appropriate choice.

Read more about Attorney here brainly.com/question/1013561

4 0
2 years ago
Following a decrease in the supply of oranges, the price of orange juice increased by 20 percent, which resulted in a 10 percent
s344n2d4d5 [400]

Answer: This implies that the cross elasticity of demand between orange juice and apple juice is <u>0.5.</u>

Explanation:

The cross elasticity of demand is evaluated as:

\frac{\text{Percentage change in quantity of demand of Good X}}{\text{Percentage change in price of Good Y}}

Price of orange juice increased by 20 percent, which resulted in a 10 percent increase in the quantity of apple juice consumed.

The cross elasticity of demand =\frac{10}{20}

The cross elasticity of demand = 0.5

Hence, This implies that the cross elasticity of demand between orange juice and apple juice is <u>0.5.</u>

4 0
3 years ago
Other questions:
  • Eurocurrency markets are a source of attractively priced working capital loans for multinational firms because
    6·1 answer
  • Which strategy is an example of how companies may upgrade themselves to meet changing customer preferences?
    8·1 answer
  • A firm sets its price at $10.00 per unit. It has an average variable cost of $8.00 and an average fixed cost of $4.00 per unit.
    15·1 answer
  • After major hurricanes like Katrina, many ethical home repair and building supply businesses continue to charge pre-hurricane pr
    6·1 answer
  • Acme Products manufactures and markets a product called Grow Tall. Acme claims in its advertising that Grow Tall will make its u
    6·1 answer
  • On November 1, Alan Company signed a 120-day, 8% note payable, with a face value of $9,000. What is the maturity value (principa
    13·1 answer
  • Q 6.3: Hanson Technology is a computer manufacturer. For years, Hanson has relied on the JIT inventory method. However, due to n
    15·1 answer
  • Division A does not have excess capacity to produce Product XX. The division can sell Product XX for $10 per unit outside the co
    7·1 answer
  • Determine the future value if $5,000 is invested in each of the following situations: 7 percent for seven years
    7·1 answer
  • when collins inc. uses the proceeds from issuing bonds to purchase equipment needed to start a new product line, this is an exam
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!