A REIT with 100 Shares Outstanding Earns $1,000 in Rent

question 24

Multiple Choice

A REIT with 100 shares outstanding earns $1,000 in rent and incurs operating expenses of $400.In addition,the REIT owns property with an historic cost of $6,000 and depreciates it over a 15 year period using straight-line depreciation.What are the funds from operations per share and the earnings per share for this REIT?

• A)$4 and $3,respectively
• B)$4 and $2,respectively
• C)$6 and $2,respectively
• D)$6 and $3,respectively

---

Definitions:

Babble

The sounds, syllables, and simple vocalizations made by babies as an early form of speech development.

Chomsky

Refers to Noam Chomsky, an influential linguist known for his theory of innate grammar and criticism of behaviorism, contributing to the cognitive revolution.

Holophrases

Single-word expressions used by infants that convey complete ideas or requests.

Grammar

Grammar is the set of structural rules governing the composition of clauses, phrases, and words in any given natural language.