Question

Q1 Given the following information, calculate the overall capitalization rate: Sale price: $3,250,000; Potential gross income:...

Q1

Given the following information, calculate the overall capitalization rate:

Sale price: $3,250,000;

Potential gross income: $255,000;

Vacancy and collection losses: $20,500;

and Operating expenses: $35,000.

Can you teach me how to do this on excel?

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Given the following information, calculate the capitalization rate for the apartment complex. Number of apartments: 15;...
Given the following information, calculate the capitalization rate for the apartment complex. Number of apartments: 15; Market Rent (per month): $1,200; Vacancy and Collection Loss: 10% of potential gross income; Operating Expenses: 5% of effective gross income; Capital Expenditures: 10% of effective gross income; Acquisition Price: $1,710,000. 9.5% 9.0% 10.5% 9.7%
An investment opportunity having a market price of $1,200,000 is available. Your expectation includes these: first-year...
An investment opportunity having a market price of $1,200,000 is available. Your expectation includes these: first-year gross potential income of $350,000; vacancy and collection losses equal to 20 percent of gross potential income; operating expenses equal to 40 percent of effective gross income; and capital expenditures equal to 10 percent of effective gross income. You could obtain a $850,000, 30-year mortgage loan requiring equal monthly payments with interest at 8.0 percent. a.NOI b.Effective Gross Multiplier c.Monthly and annual payment   d....
You are considering purchasing an office building for $2,500,000. You expect the potential gross income (PGI)...
You are considering purchasing an office building for $2,500,000. You expect the potential gross income (PGI) in the first year to be $450,000; vacancy and collection losses to be 9 percent of PGI; and operating expenses and capital expenditures to be 42 percent of effective gross income (EGI). You will finance the acquisition with 25 percent equity and 75 percent debt. The annual interest rate on the debt financing will be 5.5 percent. Payment will be made monthly based on...
Given the following information regarding an income producing property, determine the internal rate of return (IRR)...
Given the following information regarding an income producing property, determine the internal rate of return (IRR) using levered cash flows. Expected Holding Period: 5 years; 1st year Expected PGI: $91,000; 2nd year Expected PGI: $91,000; 3rd year Expected PGI: $91,000; 4th year Expected PGI: $91,000; 5th year Expected PGI: $91,000; Vacancy 3% annually; Other Income $10,000 annually; Operating Expenses 40% of EGI annually. Debt Service in each of the next five years: $30,000; Purchase Price: $875,000; Required equity investment: $225,000;...
Given the following information regarding an income producing property, determine the internal rate of return (IRR)...
Given the following information regarding an income producing property, determine the internal rate of return (IRR) using unlevered cash flows. Expected Holding Period: 5 years; 1st year Expected PGI: $95,000; 2nd year Expected PGI: $95,000; 3rd year Expected PGI: $95,000; 4th year Expected PGI: $95,000; 5th year Expected PGI: $95,000; Vacancy at 5% annually. Operating Expenses 40% of EGI annually. Debt Service in each of the next five years: $20,000; Current Market Value: $897,000; Required equity investment: $200,000; Gross Sales...
Calculate cash flow from operating activities using the following information. Net income                           &nbs
Calculate cash flow from operating activities using the following information. Net income                                   60,000           Purchase of new machine          35,000 Depreciation expense                  10,000            Increase in Accts. Receivable     15,000 Loss on sale of machine                  9,000    Decrease in Prepaid Expenses    7,000 Increase in Accts. Payable         14,000 Decrease in Accrued Liabilities 4,000
An appraiser forecasts for the “Pawnee’s Dining Building” and provides the following forecasts: The building consists...
An appraiser forecasts for the “Pawnee’s Dining Building” and provides the following forecasts: The building consists of 2 floors with the following (6) properties: 1st floor – (3) fine dining restaurants: (1) - Charles Mulligan’s Steakhouse, renting for $3750/month (2) - Tom’s Bistro, each renting for $2000/month 2nd floor – (1) bar/lounge and (2) fast food joints (same company) (1) - Snakehole Lounge - renting for $3500/month (2) - Paunch Burgers (fast food), each renting for $1250/month Vacancy and Collection...
You are given the following information for Smashville, Inc. Cost of goods sold: $214,000 Investment income:...
You are given the following information for Smashville, Inc. Cost of goods sold: $214,000 Investment income: $2,200 Net sales: $328,000 Operating expense: $45,000 Interest expense: $7,400 Dividends: $8,000 Tax rate: 21 % Current liabilities: $16,000 Cash: $21,000 Long-term debt: $26,000 Other assets: $38,000 Fixed assets: $156,000 Other liabilities: $5,000 Investments: $42,000 Operating assets: $35,000    Calculate the gross margin, the operating margin, return on assets and return on equity. (Do not round intermediate calculations. Enter your answers as a percent...
Given the following information, calculate free cash flow to equity: Net Income: $70 Working Capital Investment:...
Given the following information, calculate free cash flow to equity: Net Income: $70 Working Capital Investment: $4 Beginning gross fixed assets, $90, Ending gross fixed assets, $136 Beg accumulated depreciation $30, Ending accumulated depreciation $40 Depreciation Exp:$20 Capital expenditures: $45 Net Borrowing: $0 In addition, a piece of equipment with original book value $19 was sold for $10. The equipment book value at time of sale was $2 and gain was classified as unusual.Find Free Cash Flow to Equity.
Given the following information regarding an income producing property, determine the net present value (NPV) using...
Given the following information regarding an income producing property, determine the net present value (NPV) using unlevered cash flows at a discount rate of 10%. Expected Holding Period: 5 years; 1st year Expected NOI: $90,000; 2nd year Expected NOI: $90,000; 3rd year Expected NOI: $90,000; 4th year Expected NOI: $90,000; 5th year Expected NOI: $90,000; 6th Expected NOI: 110,000; Debt Service in each of the next five years: $60,500; Current Market Value: $875,000; Required equity investment: $225,000; Apply a going-out...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT