REAL ESTATE MODELING 1:
INTRODUCTION TO REAL ESTATE
MODELING | QUESTIONS AND ANSWERS |
100% CORRECT
What is Argus? - ANSWERS-A software program used to project cash
flows for commercial property types.
In which lease structure(s) are tenants required to pay expenses?
1. Triple Net (NNN)
2. Full Service (FS)
3. Modified Gross (MG) - ANSWERS-1 and 3
Which of the following real estate functions does not rely on financial
models?
- Private equity
- Brokers
- Lenders
- Tenants - ANSWERS-Tenants
Which of the following is not a formatting and layout best practice for
financial modeling?
- Always password protecting your model
, - Always assuming the model will be used by someone else
- Being predictable
- Creating "plug-and-play" models - ANSWERS-Always password
protecting your model
In a model, what font color should hard-coded numbers (inputs) be? -
ANSWERS-Blue
Which formula is frequently used when working with dates in a model?
- ANSWERS-=EOMONTH(
Which of these is FALSE?
- Argus is helpful because lease expirations introduce probabilities
into cash flow calculations.
- Argus is helpful because commercial tenants often have different
lease terms.
- Argus is used to project cash flows for commercial properties.
- Argus is often used for complete property underwritings. - ANSWERS-
Argus is often used for complete property underwritings.
Which sheets does Wall Street Prep teach as the main sheets in a real
estate model?
1. Inputs & Drivers
2. Argus
3. Model
4. Transaction Summary
INTRODUCTION TO REAL ESTATE
MODELING | QUESTIONS AND ANSWERS |
100% CORRECT
What is Argus? - ANSWERS-A software program used to project cash
flows for commercial property types.
In which lease structure(s) are tenants required to pay expenses?
1. Triple Net (NNN)
2. Full Service (FS)
3. Modified Gross (MG) - ANSWERS-1 and 3
Which of the following real estate functions does not rely on financial
models?
- Private equity
- Brokers
- Lenders
- Tenants - ANSWERS-Tenants
Which of the following is not a formatting and layout best practice for
financial modeling?
- Always password protecting your model
, - Always assuming the model will be used by someone else
- Being predictable
- Creating "plug-and-play" models - ANSWERS-Always password
protecting your model
In a model, what font color should hard-coded numbers (inputs) be? -
ANSWERS-Blue
Which formula is frequently used when working with dates in a model?
- ANSWERS-=EOMONTH(
Which of these is FALSE?
- Argus is helpful because lease expirations introduce probabilities
into cash flow calculations.
- Argus is helpful because commercial tenants often have different
lease terms.
- Argus is used to project cash flows for commercial properties.
- Argus is often used for complete property underwritings. - ANSWERS-
Argus is often used for complete property underwritings.
Which sheets does Wall Street Prep teach as the main sheets in a real
estate model?
1. Inputs & Drivers
2. Argus
3. Model
4. Transaction Summary