The Cost of a Purchased Building Includes All of the Following

question 87

Multiple Choice

The cost of a purchased building includes all of the following except

• A)closing costs.
• B)real estate broker's commission.
• C)remodeling costs.
• D)All of these answers are correct.

Acknowledge factors influencing sales forecasts and their implications.

Grasp the concept of goal congruence in budgeting and its impact on organizational alignment and performance.

Understand the concept and purpose of zero-based budgeting.

Recognize factors that contribute to budget acceptance.

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Definitions:

Apparent Authority

a situation where a person appears to have the authority to act for another, leading a reasonable third party to believe that authority exists.

Real Estate Development

The process of purchasing land, financing real estate deals, building or having buildings constructed, and selling or leasing the finished product to end-users.

Express Authority

Is the specific powers granted by a principal to an agent in a contractual agreement to perform certain actions on behalf of the principal.

Disclosed Principal

In agency law, a principal whose identity is known by the third party at the time the agent makes a contract with the third party.