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8. A REIT with 1 million shares outstanding earns $10 million in net rent and incurs repair and maintenance expense of $4 million, salaries and
8. A REIT with 1 million shares outstanding earns $10 million in net rent and incurs repair and maintenance expense of $4 million, salaries and wages expense of $1 million, other operating ex- penses of $500 thousand, real estate taxes of $500 thousand and utilities of $750 thousand. In addi- tion, the REIT owns property with an historic cost of $17.5 million and depreciates it over a 35-year period using straight-line depreciation. What are the funds from operations per share and the earn- ings per share for this REIT, respectively? A. $3.25 and $2.75 B. $10.00 and $9.50 C. $2.75 and $3.25 D. $3.25 and $3.25
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