Which One of the Following Is Not Required of a REIT

question 78

Multiple Choice

Which one of the following is not required of a REIT by federal law?

• A)Distribute at least 90 percent of the taxable annual earnings to shareholders
• B)Hire independent real estate professionals to perform certain management activities
• C)Have at least 100 shareholders with no more than half of all shares owned by 5 or fewer people
• D)Engage in only speculative,short-term holdings of real estate for quick profits
• E)Invest at least 75 percent of the total assets in real estate

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Definitions:

Mental Representations

Internal cognitive symbols, concepts, or images that represent external reality, allowing individuals to think about and function in the world.

Event Contingencies

The relationship between actions and outcomes in a given situation.

Tolman

Edward Chace Tolman was a cognitive psychologist who introduced the concept of cognitive maps in learning theory.

Expectations

Beliefs or predictions about future events that can influence an individual's perception and behavior.