Which of the Following Terms BEST Defines the Term "Real

question 3

Multiple Choice

Which of the following terms BEST defines the term "real estate syndication?"

• A) A group of investors who have combined their financial resources with the expertise of a real estate professional to carry out a real estate project.
• B) An organization that acts as a single legal entity and is held separate from the individual investors.
• C) An organizational form of real estate ownership in which income and expenses are passed through to individuals.
• D) A group of investors who have combined their financial resources to provide debt funding for a real estate project.

---

Definitions:

Depreciation Expense

The allocated cost of using a fixed asset over its useful life, reflecting its decrease in value over time.

Straight-line Method

A method for calculating depreciation of an asset, which assumes the asset will lose an equal amount of value each year over its useful life.

Depreciation Expense

The allocation of the cost of an asset over its useful life, reflecting the decrease in value of the asset over time due to usage, wear and tear, or obsolescence.

Telephone System

A communication network designed for the purpose of transmitting voice over distances.