Below is the summary of the information about the property, and his estimation if he does...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Below is the summary of the information about the property, and his estimation if he does the renovation. Purchase Price Building Value Land Value Loan-to-value Ratio Interest Term CURRENT Payments per Year Years Since Purchased Current NOI (Year 3) Projected Increase in NOI Resale Value Today Appreciation Rate Depreciable Life Ordinary Income Tax Rate Price Appreciation Tax Rate Depreciation Recapture Tax Rate $1,000,000 $800,000 $200,000 75% 10% 20 years 12 2 $100,000 2% per year $1,050,000 2% 39 28% 28% 28% per year years IF RENOVATED Renovation Cost Initial Increase in NOI (Year 3) your mommy payunary Annual Increase in NOI Terminal Cap Rate Selling Expenses New Loan Information: Interest Rate Term Payments per Year $200,000 20% 3% 10% of sale 4% price 11% 20 years 12 Below is what the cash flows from the base case scenario, which is without renovation looks like. Some cells have been intentionally left empty. Please compute them. What is the ATCF from reversion for the base case scenario? (round your final answer to whole numbers) Below is the summary of the information about the property, and his estimation if he does the renovation. Purchase Price Building Value Land Value Loan-to-value Ratio Interest Term CURRENT Payments per Year Years Since Purchased Current NOI (Year 3) Projected Increase in NOI Resale Value Today Appreciation Rate Depreciable Life Ordinary Income Tax Rate Price Appreciation Tax Rate Depreciation Recapture Tax Rate $1,000,000 $800,000 $200,000 75% 10% 20 years 12 2 $100,000 2% per year $1,050,000 2% 39 28% 28% 28% per year years IF RENOVATED Renovation Cost Initial Increase in NOI (Year 3) your mommy payunary Annual Increase in NOI Terminal Cap Rate Selling Expenses New Loan Information: Interest Rate Term Payments per Year $200,000 20% 3% 10% of sale 4% price 11% 20 years 12 Below is what the cash flows from the base case scenario, which is without renovation looks like. Some cells have been intentionally left empty. Please compute them. What is the ATCF from reversion for the base case scenario? (round your final answer to whole numbers)
Expert Answer:
Answer rating: 100% (QA)
What is the ATCF from reversion for the base case scenario round your final a... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
Students also viewed these economics questions
-
The Data below is the summary of the transactions of Ethan Enterprises for the year Beginning inventory 100 units Units produced 750 units Unit sold. 800 units Selling price. $150 per unit Direct...
-
Below is the summary report from your finance group regarding their analysis for determining discounting rates for the project at hand (project described after the report). Unfortunately, due to a...
-
Below is the summary table of a One-Way ANOVA computed in a study. The study investigated the difference in anxiety level of five groups: accountants, teachers, policemen, medical practitioners, and...
-
Adrian Webb bought 618 bricks to build a barbecue pit, paying $185.40. Find the cost per brick. (HINT: Cost per brick means the cost for one brick.) The cost per brick is s (Round to nearest hundidth)
-
What does the purchaser of a product obtain besides the good, service, or idea itself?
-
What are some promising text mining applications in biomedicine?
-
A lessor, Ace Corp. enters into an equipment lease with a lessee, Spades Inc. The terms of the lease require annual lease payments of \(\$ 48,000\) over a 10 -year period, with the first payment due...
-
YourTeam.com is an online retailer of college and professional sports team memorabilia, such as hats, shirts, pennants and other sports logo products. Consumers select the college or professional...
-
every entry should have narration please. Current Attempt in Progress Martinez Corporation sold 30-year, 6% convertible bonds with face value $940,000. The bonds pay interest January 1 each year....
-
Cesar Ablang is a product manager for a Malaysian firm. His product is made in batches of 2,500 units each. In past years, his product cost was $14.50 per unit, including $8 in variable costs. The...
-
Use the given graph to find the indicated limit. 7) -3 Find lim f(x). x-- The graph of y = f(x) is shown. Use the graph to answer the question. 8) Is f continuous at x =-1? --3-4-3-2. Provide an...
-
6. Eye color is controlled by two genes. At the BEY-2 gene you can have a dominant allele for brown eyes or a recessive alele for blue eyes. At the GEY-2 gene you can have a dominant allele for green...
-
Weight average calculations. Purchase Sold Balance in Inventory Averag Unit Unit Date Units Cost Total Units e Total Units Total Cost Cost/U nit Jan. 1 100 $1 $100 100 $1 $100 7 10 10 $2 $20 110...
-
Racoons eye color and hair color are controlled bygenes which are very close together on the same chromosomes(tightly linked). Green eyes (G) are dominant to hazel eyes (g) andBlack hair (B) is...
-
The Keratin-71 gene controls dog hair shape. It is on chromosome 27. There are two alleles in the population: KS = straight hair and KC = curly hair. The photo shows a dog with curly hair. rc) If you...
-
Suppose that in 2018 Company A in Germany reported that they produced 20M worth of manufacturing equipment that was sold to other companies. Upon later review of their books they discover that while...
-
How does technology influence our self-concepts? How can we know ourselves when we can be so many people in so many different circumstances during the course of a day with technology? Is the idea of...
-
On January 2, 20X3, Sheldon Bass, a professional engineer, moved from Calgary to Edmonton to commence employment with Acco Ltd., a large public corporation. Because of his new employment contract,...
-
Van makes an investment in a partnership in 2012. Van's capital contributions to the partnership consisted of $30,000 cash and a building with an adjusted basis of$70,000, subject to a nonrecourse...
-
Russell (age 50) and Linda (age 45) Long have brought you the following information regarding their income and expenses for the current year. Russell owns and operates a landscaping business called...
-
Clifford Johnson has a limited partnership investment and a rental condominium. Clifford actively manages the rental condominium. During 2012, his share of the loss from the limited partnership was...
-
Enter the following items in the necessary debtors accounts only; do not write up other accounts. Then balance down each personal account at the end of the month. 19X6 May 1 33 " " " 9 4 10 18 20 24...
-
Enter the following in three-column cash book. Balance off the cash Pook at the end of the month and show the discount accounts in the general ledger. 19X8 June 1 Balances brought forward: Cash 97;...
-
. Enter the following in the personal accounts only. Do not write up the other accounts. Then balance down each personal account at the end of the month. 19X8 June 1 Purchases on credit from J Young...
Study smarter with the SolutionInn App