How is the net operating income (NOI) of a commercial property determined?
What will be an ideal response?
The NOI of a commercial property is determined by taking the rental income and reducing it by cash operating expenses (adjusted for a replacement reserve). In valuing commercial property, the expected cash flows are the future NOIs. A discount rate or "capitalization rate," reflecting the risks associated with the cash flows, is used to compute the present value of the future NOIs.
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Impression management is the process of making an apology for a mistake
Indicate whether the statement is true or false
If Grove City Corp continues to use the ship in its eleventh year, what is the correct accounting procedure?
a. Take the asset off the books and record a gain on the disposal b. Continue to depreciate it c. The company may not use it any longer d. No longer depreciate it but leave it on the records at its book value at the end of its useful life
With the effective interest method of amortization, the amortization of bond discount results in a(n)
a. increase in interest expense. b. decrease of stockholders' equity. c. increase in stockholders' equity. d. decrease in interest expense.
Because thousands of studies have been conducted, validity generalization allows the use of this database to establish reliable values for the average validity of most predictors.
Answer the following statement true (T) or false (F)