PLZ PLZ HELP

Question 7.

1. Explain what the Capitalisation rate means from the point of view of a property investor.
2. Below is a summary of projected financial information of your plan. Calculate the value of the property based on the information provided below.

Name	Nuhaw Wahl Project
Address	321 Station Street, Canterbury, NSW
Net operating income	$953,000
Operating expenses (per year)	$500,000
Company tax rate	30%
Australia 10-Year Bond Yield	1.147%
Cash Rate in Australia	0.10%
Market capitalization rate	4.5%