Fixed term leases Study guides, Revision notes & Summaries

lease - ANSWERSAn agreement transferring the right to exclusive possession and use of real estate for a definite period of time. To create a valid lease, the landlord (lessor) must grant the right of possession to the tenant (lessee) but retain the right to retake possession after the lease term expires. leasehold - ANSWERSThe right to hold or use property for a fixed period of time at a given price, without transfer of ownership, on the basis of a lease contract. A leasehold is a fixed asset...

Term: What are the 8 steps of the valuation process? Definition: 1. Define the problem, 2. scope of work, 3. data collection & property description, 4. data analysis, 5. land value opinion, 6. application of the approaches to value, 7. reconciliation of value indications and final opinion of value, 8. report of defined value. Term: Valuation process Definition: A systematic procedure employed to provide the answer to a clients question about the value of real prope...

List five sources of rental income data: - Answer- 1. Commercial property managers 2. Tenants of comparable properties 3. Real estate brokers and sales people 4. Sellers and purchasers of comparable properties 5. Public records Another name for market rent is___________rent. - Answer- economic In addition to sales and leases, _________ and ___________ can be a valid source of market information, if care is exercised. - Answer- offers listings 4. A lease that provides for one or mo...

Scope of Work - CORRECT ANS Typically developed by procurement to be included in the solicitation to procure services or other more complex combinations of products and services. Sometimes called "Performance Specification" PWS - CORRECT ANS Performance Work Statement SOO - CORRECT ANS Statement of Objectives Statement of Work - CORRECT ANS The proposed solution by the successful proposer responding to the Scope of Work appearing in the solicitation. Benchmarkin...

What is Portfolio Management? - The continuous process of evaluating the nature and performance of the portfolio of leases in order to allow management to determine future underwriting adjustments, current reserves and strategic planning What are the different categories of risk factors? - 1.) credit risk 2.) financial risk 3.) business risk What are common Credit Risk Indicators? - 1.) frequency of delinquency or default 2.) 30-60-90 day receivable aging 3.) Amount charge off/default 4...

Helps avoid tax abuse by defining what is not a lease for tax purposes. - What is significant about IRS Revenue Ruling 55-540? Per IRS Revenue Ruling 55-540, what are the rules that if present prevent a transaction from being a lease for tax purposes? - 1). Any portion of the periodic payment is equity, 2.) lessee automatically acquires title upon making scheduled payments 3.) the total amount, which a lessee is required to be paid is an inordinately large portion of the total sum to buy t...

Principles of Accounting Exam Questions With Answers The Accounting Equation - ANSWER- Net assets = proprietor's funds Assets - Liabilities = Capital + Profit [or - Losses] - Drawings Debits and Credits - ANSWER- In a double-entry: Debits represent assets, expenses, or drawings; Credits represent liabilities, income, or capital. Accounting for Closing Stock - ANSWER- The required double-entry is Dr Stock (Balance Sheet); Cr P&L. It now reflects an asset and profits are increas...

Amortized Loans - ANSWER-Constant payment including principle and interest until paid off Conventional Loan - ANSWER-No government back; private Gross Lease - ANSWER-Fixed amount- Residential rental Net Lease - ANSWER-Fixed plus maintenance; Triple Net = tax & insurance also Percentage Lease - ANSWER-Fixed + % of profits ;; mall, retail spaces Ground Lease - ANSWER-Long term land lease-- 99+ yr lead;; to build Leaseback - ANSWER-Seller leases back after closing; model homes ...

Financial Analysis Questions and Answers Rated A+ Define financial analysis A systematic means of determining how well the assets of a business are being managed and controlled. Financial analysis is based on information found in financial statements.*The three most commonly used financial statements are:* *•Income Statement* (Statement of Profit and Loss; P and L). *•Balance Sheet* (Statement of Financial Condition). *•Statement of Cash Flows* (How much cash you bring in and how much cas...

CPCM Study Guide 2024 Trademark -Answer-word, name, symbol, or device that is used with goods to indicate the source of the goods and to distinguish from the goods of others. constructive acceleration -Answer-requirement that a contractor complete its work by a date earlier than one that would reflect the time extensions to which it's entitled because of an excusable delay. price analysis -Answer-process of examining & evaluating a price without the evaluation of the separate cost elemen...