There Are a Set of Restrictive Conditions That REITs Must

question 30

Multiple Choice

There are a set of restrictive conditions that REITs must satisfy on an ongoing basis in order to maintain their special tax status. All of the following statements regarding the main restrictions are true EXCEPT:

• A) At least 100 investors must own a REIT's shares
• B) No five investors can own more than 50 percent of a REIT's shares
• C) At least 75 percent of the value of a REIT's assets must consist of real estate assets
• D) A REIT must distribute at least 75% of its taxable income to shareholders in the form of dividends.

Calculate consumer surplus at different price points given a supply and demand diagram.

Analyze changes in total surplus resulting from price changes.

Determine the equilibrium quantity and price in a market.

Understand the concept of producer surplus and how it is affected by market changes.

---

Definitions:

Routine Information

Data or facts that are regularly collected, processed, and utilized in the normal course of business or activities.

Email Announcement

A written communication sent electronically through email to convey information, updates, or notifications to a designated group.

Noise

In the context of communication, any unwanted or distracting information that interferes with the transmission of a message between a sender and receiver.

Technical Problems

Issues or challenges that arise within the realm of technology or engineering, requiring specific technical knowledge and skills to solve.