You are analyzing a property that was just pitched to your company. Real estate taxes and...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
You are analyzing a property that was just pitched to your company. Real estate taxes and management services cost 536,246 and 412,369, respectfully. Vacancy is 3.5% of gross rent. Other expenses are 9.63 per rentable sq ft. The current landlord is able to earn parking income of $163,256. He is given recoverables from tenants in the amount of 356,256. You project that capital expenditures of 1,239,632 are needed on an annual basis. The rentable sq ft of the building is 315,636 and has base rent of 19.63 per rentable sq ft. An appraisal labeled the gross square footage at 365,236. Concessions per rentable sq ft is 1.45. What is the effective gross income? You are analyzing a property that was just pitched to your company. Real estate taxes and management services cost 536,246 and 412,369, respectfully. Vacancy is 3.5% of gross rent. Other expenses are 9.63 per rentable sq ft. The current landlord is able to earn parking income of $163,256. He is given recoverables from tenants in the amount of 356,256. You project that capital expenditures of 1,239,632 are needed on an annual basis. The rentable sq ft of the building is 315,636 and has base rent of 19.63 per rentable sq ft. An appraisal labeled the gross square footage at 365,236. Concessions per rentable sq ft is 1.45. What is the effective gross income?
Expert Answer:
Answer rating: 100% (QA)
To calculate the effective gross income we need to start with the potential rental ... View the full answer
Related Book For
Modern Advanced Accounting in Canada
ISBN: 978-1259087554
7th edition
Authors: Hilton Murray, Herauf Darrell
Posted Date:
Students also viewed these accounting questions
-
You, CA, have been working for Plener and Partners, Chartered Accountants (P&P), a mid-size CA firm, for three years. You have been assigned a new project for a long-term client of your firm, Oxford...
-
Managing Scope Changes Case Study Scope changes on a project can occur regardless of how well the project is planned or executed. Scope changes can be the result of something that was omitted during...
-
TED AND ALICES HOUSE PURCHASE DECISION Ted and Alice are a young couple who have been living in an apartment for the first two years of their marriage. They would like to buy their first house, but...
-
There are several types of interviews. List and define the methods of interviewing. List and discuss the different types of employment tests. List and discuss the uses of the performance appraisal -...
-
As an assistant to Jane Melody, Sonics chief marketing officer, youve been assigned to draft a mission statement for top managements review. This should cover the competitive spheres within which the...
-
During the month of October, credit sales for a business actually amounted to $963 534. However, an error of $10 000 had been made in totalling the sales column of the sales journal. When and how...
-
The consistent mass matrix of a bar element is given by a. \(\frac{ho A l}{6}\left[\begin{array}{ll}2 & 1 \\ 1 & 2\end{array} ight]\) b. \(\frac{ho A l}{6}\left[\begin{array}{rr}2 & -1 \\ -1 &...
-
The following are examples of audit procedures: 1. Review the accounts receivable with the credit manager to evaluate their collectibility. 2. Compare a duplicate sales invoice with the sales journal...
-
Lefrejun Ltd was formed nine months ago when Lee, Fred and June had finished their Bachelor of Construction Management programme at Deakin University. They saw an opportunity to sell wearable sensors...
-
Consider an individual whose preferences are defined over bundles of non-negative amounts of each of two commodities. Suppose that this individual's preferences can be represented by a utility...
-
a) Assume a RAM capacity is 128MB divided into blocks, with each size 32KB. A file name XX has been allocated in memory with 64 blocks. Show the working step for each of the following questions. i....
-
Maslow and Herzberg propound to _______ motivation theories. Content Equity Process Expectancy
-
what differentiates a process-based software development from an agile one?
-
Variants and exception handlers are alternate flows for a use case. In which situations should one or the other be used?
-
What does the tax law include in amount realized?
-
Doagile methods hinder object-oriented programming? Why?
-
Find and research a construction project that has a project management issue that is or has been within the past five years "in the news." write a detailed summary of what is happening or has...
-
Determine the resultant moment produced by the forces about point O. 0.25 m 0.125 m, 0 0.3 m- 60 F = 500 N F = 600 N
-
Canadian Computer Systems Limited (CCS) is a public company engaged in the development of computer software and the manufacturing of computer hardware. CCS is listed on a Canadian stock exchange and...
-
On December 31, Year 1, the Peach Company purchased 80% of the outstanding voting shares of the Orange Company for $964,000 in cash. The balance sheet of Orange on that date and the fair values of...
-
Able Company holds a 40% interest in Baker Corp. During the year, Able sold a portion of this investment. How should this investment be reported after the sale?
-
Using the data in exercise 2, calculate the marginal factor cost. Data from in exercise 2 Using the information in the following table, calculate the marginal revenue product (MRP = MPP MR). Unit of...
-
Suppose the output price falls from \($5\) to \($4\) to \($3\) to \($1\) in exercise 2. How would that change your answers to exercises 2 and 3? Data from in exercise 2 Using the information in the...
-
Using exercise 6, calculate the transfer earnings and economic rent of the third unit of the resource when four units of the resource are employed. Data from in exercise 6 Suppose the resource price...
Study smarter with the SolutionInn App