Which One of the Following Is Not Required of a REIT

question 132

Multiple Choice

Which one of the following is not required of a REIT by federal law?

• A) Distributing 90 percent or more of the taxable annual earnings to shareholders
• B) Hiring independent real estate professionals to perform certain management activities
• C) Having at least 100 shareholders with no more than half of all shares owned by 5 or fewer people
• D) Making direct investments only in apartment houses, shopping malls, and other commercial property
• E) Investing at least 75 percent of the total assets in real estate

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Definitions:

Tense/relaxed Continuum

A conceptual scale that describes the varying degrees of tension or relaxation present in an individual, situation, or environment.

Discrimination

Unfair or prejudicial treatment of individuals or groups based on characteristics such as race, gender, age, or sexual orientation.

Oppression

The systemic and pervasive mistreatment of individuals or groups by others who hold more power.

Summarization

The act of condensing information into a shorter form while retaining the essential points.