Chapter 17: Real Estate Investments, Business Brokerage and Auctioning (FITB) Flashcards Preview

Real Estate > Chapter 17: Real Estate Investments, Business Brokerage and Auctioning (FITB) > Flashcards

Flashcards in Chapter 17: Real Estate Investments, Business Brokerage and Auctioning (FITB) Deck (14):
1

A business with sales of less than $200,000 is classified as a business ____.

opportunity

2

The Uniform Commercial Code essentially covers the sale of ____ ____.

personal property

3

____ ____ liabilities mature in more than 1 year.

long term

4

The basic accounting formula states that assets equal liabilities plus ____ ____.

owner equity.

5

____ assets are those that have no physical existence.

intangible

6

When the rate of return on borrowed funds exceeds the rate of return on the investment, the investor is experiencing ____ leverage.

negative

7

The transfer of ownership to personal property is generally accomplished using a ____ ____ ____.

bill of sale

8

An instrument similar to a mortgage that is used to secure payment due on the sale of personal property is called a ____ ____.

security agreement

9

Liquidation value may be used to establish the minimum value of a business that is ____.

unprofitable

10

The ability a business broker must possess that distinguishes them from most other real estate brokers is knowledge of ____ and ____ ____.

accounting and corporate finance

11

A business broker must be able to read and understand ____ ____ and ____ ____.

operating statements and balance sheets

12

Dividing the operating expenses by the effective gross income results in the calculation of the ____ ____ ratio.

operating expense ratio

13

The risk associated with losses from storms, fire, theft and so on is called ____ risk.

static

14

Individuals that have no intention of buying at an auction but are used to drive the price up are called ____.

by-bidders

Decks in Real Estate Class (39):