18) Mr. Tyson is deciding whether to purchase an investment property that he estimates to have operating costs of $325,000 per year, gross potential income of $500,000, and a vacancy rate of 7.5%. A similar property with an NOI of $122,000 recently sold for $1,000,000. What is the estimated value of this building?

a) 137500. b) 325000. c) 1,122,392. d) 1,125,343. e) 1,127,049

24)Pro forma financial statements are based on which one of the following?

a)projected future income, cash flows, and other noncash items

b)historical revenue and expenses

c)historical asset and liability values

d)current period cash flows

e)current period revenues and expenses