Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please explain each options with calculation steps. Alpha Property Trust owns and manages approximately five million sq. ft. of suburban office, office-warehouse, and specialty office/distribution

image text in transcribed

Please explain each options with calculation steps.

Alpha Property Trust owns and manages approximately five million sq. ft. of suburban office, office-warehouse, and specialty office/distribution space in three U.S. states. The cost basis for these assets is $300 million; the REIT has made or assumed mortgages totaling $80 million as part of financing its asset acquisitions. Alpha Property Trust 's stock is currently trading at $75 per share, total number of shares is 5 million, making its current market value worth $375 million. Here is the financial statement of Alpha Property Trust. $70,000,000 Operating Statement Summary Net revenue Less: Operating expenses Depreciation and amortization General and administrative expenses Management expense Income from operations Less: Interest expense Net income (loss) Net income (loss) per share Which of the following statement is FALSE? 30,000,000 15,000,000 4,000,000 1,000,000 $20,000,000 6,400,000 $13,600,000 $2.72 The funds from operation per share is $5.72. The minimum dividend payment required by Alpha Property Trust is $4.00 per share. The earning per share is $2.72. If Alpha Property Trust pay $4 per share, then dividend yield is 5.33%

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Risky Business Principles Of Auditing Property And Casualty Insurance

Authors: Seth A. Davis, CIA, CPA, CPCU, CFA, CISA

1st Edition

0894139711, 978-0894139710

More Books

Students also viewed these Accounting questions

Question

Why do normal faults tend to be steeper than reverse faults?

Answered: 1 week ago