Business, 03.04.2020 02:39 dfrtgyuhijfghj4794

To overcome the potential shortcomings of single-year decision making metrics, many investors in real estate also perform multiyear discounted cash flow (DCF) valuation. DCF valuation differs from the single-year ratio analysis in all of the following ways EXCEPT:
A. Only with DCF must the investor estimate an appropriate investment horizon accounting for how long she will hold the property.
B. Only with DCF must the investor select the appropriate yield at which to discount all expected future cash flows.
C. Only with DCF must the investor make explicit forecasts of the property's net operating income for each year in the expected holding period.
D. Only with DCF must the investor use defensible cash flow estimates that incorporate appropriate measures of income and expenses, long-term trends, comparable properties, and social / legal environment conditions.

Answers: 3

Show answers

Another question on Business

Business, 22.06.2019 11:30

Which of the following statements about cash basis accounting is true? a. it is more complicated than accrual basis accounting. b. the irs allows all types of corporations to use it. c. it follows gaap standards. d. it ensures the company always knows how much cash flow it has.

Answers: 2

Answer

Business, 22.06.2019 19:00

Consider the following information on stocks a, b, c and their returns (in decimals) in each state: state prob. of state a b c boom 20% 0.27 0.22 0.16 good 45% 0.16 0.09 0.07 poor 25% 0.03 0 0.03 bust 10% -0.08 -0.04 -0.02 if your portfolio is invested 25% in a, 40% in b, and 35% in c, what is the standard deviation of the portfolio in percent? answer to two decimals, carry intermediate calcs. to at least four decimals.

Answers: 2

Answer

Business, 22.06.2019 19:40

Chang corp. has $375,000 of assets, and it uses only common equity capital (zero debt). its sales for the last year were $595,000, and its net income was $25,000. stockholders recently voted in a new management team that has promised to lower costs and get the return on equity up to 15.0%. what profit margin would the firm need in order to achieve the 15% roe, holding everything else constant? a. 9.45%b. 9.93%c. 10.42%d. 10.94%e. 11.49%

Answers: 2

Answer

Business, 22.06.2019 19:40

An increase in the market price of men's haircuts, from $16 per haircut to $26 per haircut, initially causes a local barbershop to have its employees work overtime to increase the number of daily haircuts provided from 20 to 25. when the $26 market price remains unchanged for several weeks and all other things remain equal as well, the barbershop hires additional employees and provides 40 haircuts per day. what is the short-run price elasticity of supply? nothing (your answer should have two decimal places.) what is the long-run price elasticity of supply? nothing (your answer should have two decimal places.)

Answers: 1

Answer

You know the right answer?

To overcome the potential shortcomings of single-year decision making metrics, many investors in rea...

Questions