1. Which of the following is NOT the buyers ceiling price for a property:

the buyers reservation price.

the price that generating a Zero NPV for this project;

all of these mentioned are correct.

the maximum price the buyer is willing to pay for at this point of time;

the price received by other sellers for similar properties in the market

2.The typical investor attitude toward risk is:

none of the choices are correct

all of these mentioned are correct.

a preference for a lower level of risk for a given rate of return.

a preference for a higher return for a given level of risk.

when the risk level of an investment increases, the investor expects an increase in return.

3. Passive asset rules do not apply to:

income and losses from property whose owner is actively engaged in a real estate trade or business.

income and losses from low-income housing.

limited partnership income and losses.

none of the choices are correct

losses that do not exceed $25,000 per annum.

4. The risk premium employed in the risk-adjusted discount rate by the investor:

is usually the rate of return available on short-term treasury bills.

will be the same for most investors, but will differ between investment vehicles.

is divided by the risk-free rate to determine the risk-adjusted rate.

none of the choices are correct.