REITs Use a Metric Similar to NOI for Individual Properties)

question 24

Multiple Choice

REITs use a metric similar to NOI for individual properties) of which they must distribute at least 90% as dividends to qualify as a REIT. What is this measure?

• A) FFO
• B) FAD
• C) GAGR
• D) CPC

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Definitions:

Voting Shares

Stocks that provide the owner with the ability to influence corporate decisions and elect the board of directors through voting.

Patent

A legal right granted by the government to an inventor, giving the inventor exclusive rights to use, sell, or manufacture the invention for a certain period of time.

Trademark

A recognizable sign, design, or expression which identifies products or services of a particular source from those of others.

Goodwill

An intangible asset that represents the excess value paid for a company over its net assets at the time of acquisition, reflecting attributes like brand reputation, customer relations, and intellectual property.