The Edmonton Composite Assessment Review Board confirmed the 2016 assessment of $85,923,500 for an office building known as the Intact Building. The complainant challenged the assessment based on the 5% vacancy rate and 6.25% capitalization rate applied. The board found the respondent's evidence supported a 5% vacancy rate based on similar properties in the area. It also found the 6.25% capitalization rate was equitable compared to other class "BB" buildings. As a result, the board determined the 2016 assessment was fair and equitable.
STUDY OF VALUATION OF RESIDENTIAL PROPERTY – A CASE STUDY OF PUNE CITYIRJET Journal
This document discusses real estate valuation in Pune, India. It provides background on real estate price increases in Pune due to demand and investment. The purpose is to estimate market value for properties being used for bank financing, following standard valuation practices. Key factors considered include property condition, location, comparables, and development regulations. The methodology examines documents, uses the land and building approach to value land and structures separately, and considers neighborhood amenities and market demand. The valuation aims to determine a fair value for the bank to appropriately provide and secure financing.
The document discusses internal audit of construction of real estate properties. It covers various aspects of internal audit including land clearance verification, contractor selection process, procurement audit scope, quality of materials, inventory management, sales process audit scope, and compliance with the Maharashtra Ownership Flats Act regarding possession of flats and cancellation/refund. Key risks in construction business are also discussed such as liquidity mismatch, project planning and execution, revenue recognition, and regulatory non-compliance. The internal auditor is provided guidance on analyzing construction cost sheets, RA bills, and inventory and procurement related observations.
This document discusses best value contracting criteria compared to traditional low-bid contracting. It provides examples of construction projects awarded using low-bid that experienced significant cost overruns and delays. The US Army Corps of Engineers Europe District analyzed these problem contracts and instituted best value contracting procedures focusing on quality, timeliness, management capability, and past performance rather than just price. Case studies showed projects awarded using best value criteria were completed on schedule and within budget. Key elements of success included early collaboration between stakeholders to define priorities and requirements.
The document is an assignment submission for a student named Sameh Kandil Mohammed Ibrahim. It discusses a district cooling plant project in the United Arab Emirates. The project involved constructing a district cooling plant to provide cooling water to Rihan Heights Towers. An EPC contract was signed between the client Mubadala Capital Land and the main contractor Kharafi National. The student provides a critical appraisal of the project, discussing the procurement route chosen, benefits to the client, roles of different business units, and compares the EPC route to a traditional route. The student also discusses an alternative procurement route of BOT that could have been used and compares the advantages and disadvantages for the client and concessionaire.
The document discusses the requirements for a successful construction contract claim and the main reasons disputes arise on construction projects. It outlines six key requirements: 1) timely notice of potential claims, 2) determining factual details, 3) establishing legal entitlement, 4) proving causation, 5) accurately calculating damages, and 6) effective negotiation. Common causes of disputes include changes, delays, poor documentation, scheduling errors, and incomplete contracts. The most frequent claim types are changes claims, delay claims, extra work claims, and contractual non-compliance issues. Proper contract administration and documentation can help minimize disputes.
This document provides an overview of real estate market analysis, outlining different levels and components of analysis. It discusses studies that focus on markets, economic conditions, and individual properties/decisions. Levels of analysis are described from A to D, with lower levels using general descriptive analyses and higher levels employing quantifiable data and demand forecasting to assess a property's highest and best use and marketability.
Property Development Finance Case Study-Blueray Capital.pdfBlueray Capital
How a BTL portfolio investor went from modest refurbishment projects to a multi-unit scheme, assisted by the development finance services of Blueray Capital.
Olswang 3rd Annual Construction Law ConferenceFrancis Ho
The document summarizes developments discussed at the Construction Law Conference 2016 relating to construction insurance. It discusses trends in building information modeling (BIM), integrated project insurance, and inherent defects insurance. For BIM, it outlines the different levels of maturity and potential issues for professional indemnity insurance. For integrated project insurance, it describes how the approach aims to replace separate insurance policies and move away from assigning blame. It also notes some early trial projects and considerations. For inherent defects insurance, it compares advantages to traditional collateral warranties and discusses what policies typically cover.
STUDY OF VALUATION OF RESIDENTIAL PROPERTY – A CASE STUDY OF PUNE CITYIRJET Journal
This document discusses real estate valuation in Pune, India. It provides background on real estate price increases in Pune due to demand and investment. The purpose is to estimate market value for properties being used for bank financing, following standard valuation practices. Key factors considered include property condition, location, comparables, and development regulations. The methodology examines documents, uses the land and building approach to value land and structures separately, and considers neighborhood amenities and market demand. The valuation aims to determine a fair value for the bank to appropriately provide and secure financing.
The document discusses internal audit of construction of real estate properties. It covers various aspects of internal audit including land clearance verification, contractor selection process, procurement audit scope, quality of materials, inventory management, sales process audit scope, and compliance with the Maharashtra Ownership Flats Act regarding possession of flats and cancellation/refund. Key risks in construction business are also discussed such as liquidity mismatch, project planning and execution, revenue recognition, and regulatory non-compliance. The internal auditor is provided guidance on analyzing construction cost sheets, RA bills, and inventory and procurement related observations.
This document discusses best value contracting criteria compared to traditional low-bid contracting. It provides examples of construction projects awarded using low-bid that experienced significant cost overruns and delays. The US Army Corps of Engineers Europe District analyzed these problem contracts and instituted best value contracting procedures focusing on quality, timeliness, management capability, and past performance rather than just price. Case studies showed projects awarded using best value criteria were completed on schedule and within budget. Key elements of success included early collaboration between stakeholders to define priorities and requirements.
The document is an assignment submission for a student named Sameh Kandil Mohammed Ibrahim. It discusses a district cooling plant project in the United Arab Emirates. The project involved constructing a district cooling plant to provide cooling water to Rihan Heights Towers. An EPC contract was signed between the client Mubadala Capital Land and the main contractor Kharafi National. The student provides a critical appraisal of the project, discussing the procurement route chosen, benefits to the client, roles of different business units, and compares the EPC route to a traditional route. The student also discusses an alternative procurement route of BOT that could have been used and compares the advantages and disadvantages for the client and concessionaire.
The document discusses the requirements for a successful construction contract claim and the main reasons disputes arise on construction projects. It outlines six key requirements: 1) timely notice of potential claims, 2) determining factual details, 3) establishing legal entitlement, 4) proving causation, 5) accurately calculating damages, and 6) effective negotiation. Common causes of disputes include changes, delays, poor documentation, scheduling errors, and incomplete contracts. The most frequent claim types are changes claims, delay claims, extra work claims, and contractual non-compliance issues. Proper contract administration and documentation can help minimize disputes.
This document provides an overview of real estate market analysis, outlining different levels and components of analysis. It discusses studies that focus on markets, economic conditions, and individual properties/decisions. Levels of analysis are described from A to D, with lower levels using general descriptive analyses and higher levels employing quantifiable data and demand forecasting to assess a property's highest and best use and marketability.
Property Development Finance Case Study-Blueray Capital.pdfBlueray Capital
How a BTL portfolio investor went from modest refurbishment projects to a multi-unit scheme, assisted by the development finance services of Blueray Capital.
Olswang 3rd Annual Construction Law ConferenceFrancis Ho
The document summarizes developments discussed at the Construction Law Conference 2016 relating to construction insurance. It discusses trends in building information modeling (BIM), integrated project insurance, and inherent defects insurance. For BIM, it outlines the different levels of maturity and potential issues for professional indemnity insurance. For integrated project insurance, it describes how the approach aims to replace separate insurance policies and move away from assigning blame. It also notes some early trial projects and considerations. For inherent defects insurance, it compares advantages to traditional collateral warranties and discusses what policies typically cover.
A Review of Cost overruns in Construction Project Managementijsrd.com
In construction industry cost is amongst the major considerations throughout the project management life cycle and thus can be regarded as one of the most important parameter of a project and the driving force of project success. Despite of its proven importance it is not uncommon to see a construction project failing to achieve its objectives within the specified cost. Cost overrun is a very frequent phenomenon and is almost associated with nearly all projects in the construction industry. In this paper different type of cost are enlisted and due to the effect of cost overruns enumerated in building projects. Effects Cost overruns are decrease in the building projects so, different methods are used the analysis cost overruns factors and give the top ten ranks.
This document provides a summary of the financial analysis conducted to evaluate a developer's proposal for a housing privatization project. It discusses the evaluation of the project's financing strategy, financial viability, and the financial qualifications of the developer. Key areas of analysis included assessing the reasonableness of cost assumptions, financing terms, funding sources, debt coverage ratios, escrow accounts for maintenance, and the developer's ability to contribute equity based on financial statements. Ratings were then assigned to the developer's proposal based on their strengths and weaknesses in these financial factors.
The document outlines a county policy to establish a Coastal Canal Grant Program to promote navigation of coastal canals. It provides that available grant funds will be awarded on a minimum 2:1 matching basis, with no recipient receiving over $50,000 annually. Applications will be evaluated by staff on criteria like improved navigability and leveraging of funds. Staff recommendations will be forwarded to the Board of County Commissioners for final approval and discretion over funding decisions. Eligible projects include dredging of canal waterways, and applicants must meet requirements around location, matching funds, permits, use of licensed contractors, and completion timeline.
The examiner provides comments on student performance on the DipIFR exam from June 2010. In general, performance was superior to recent exams, with candidates performing well on questions one and two. However, a minority of candidates performed well below passing standards. For question one on preparing a consolidated statement of financial position, most candidates consolidated the subsidiary correctly but some incorrectly tried to consolidate the associate. For question two on preparing financial statements from a trial balance, most did well but some struggled with deferred tax implications of a property revaluation. Question three on impairing financial assets and accounting for leases and foreign currency transactions was answered poorly, particularly part a on impairments. Question four on revenue recognition principles was answered satisfactorily. Question
The document discusses procurement methods for construction projects, comparing the traditional lowest-bid approach to the best value (BV) approach. It outlines that the traditional approach can lead to lower quality work, cost and time overruns, and legal issues. The BV approach selects contractors based on performance metrics rather than price alone, aiming to identify the most qualified contractor. Key advantages of BV include minimizing risk and nonperformance by focusing on contractor expertise. Disadvantages of the traditional approach include poor outcomes from contractors focusing solely on lowering price.
The document discusses demand and supply factors that affect real estate prices in Chennai, India. It explains:
1) The law of demand and supply - as price increases, demand decreases and supply increases. Real estate demand depends on factors like income, price, availability of credit, and preferences.
2) Supply of real estate depends on price, availability of land, builders, credit access, and labor. The supply curve slopes upward as quantity supplied increases with price.
3) Major demand factors that can increase real estate prices include location, amenities, infrastructure, commercial development, income, land availability, affordability, property structure, and customization. Supply factors like limited available properties can also increase prices.
Analysis of Optimum Bid and Contractor’s Effort in Obtaining ProfitAI Publications
The government in Bali Province, Indonesia offers a limited number of projects, even during 2018-2020 it has decreased by 32% annually. The limited number of projects makes contractors compete to submit low-value bids. That phenomenon raises a question of what the optimal construction bidding for contractors is. A bid could be defined as optimum when it provides both of winning opportunity and the expected profit. Optimum bid analysis was carried out using the Friedman method, where it was discovered that the optimum value of construction bidding is in the range of 1%-9% mark-up or bidding at 76.21%-82.25% of the owner’s estimate. Based on a review of projects throughout 2021, only 19% of projects were won with an optimum value but the quality and quantity of the results remained good according to the agreed contract and was acceptable to the owner. The contractor needs to formulate efforts to maintain the targeted profit margin from the bid value that has been submitted. The factor analysis method is used to find the main factors that affect the profit margins expected by the contractor, where it is found that the Financial-Coordination Factor is the main factors that must be considered. The semi-structured interview method is also used to obtain the right implementation strategy in order to strengthen indicators related to Finance-Coordination factor, such as: smooth payment processing from the owner, good internal communication, safe environment, skilled workforce, proper site conditions, cooperation with suppliers, and good response from the community.
The document provides the solutions to ACC 492 Final Exam questions. It begins with identifying the link to download the full exam solutions and contact information. It then lists 30 multiple choice questions from the exam along with the corresponding answers. The questions cover topics like internal controls, audit objectives, audit procedures, subsequent events, professional ethics, and auditor liability.
The document provides the solutions to ACC 492 Final Exam questions. It begins with identifying the link to download the full exam solutions and contact information. It then lists 30 multiple choice questions from the exam along with the corresponding answers. The questions cover topics like internal controls, audit objectives, audit procedures, subsequent events, professional ethics, and auditor liability.
This real estate financial consulting book lists / exhibits some of the advisory work we typically do.
• Evaluation of Lease, Sublease, Purchase, or Sale-Leaseback
• Occupancy Cost Analysis
• Lease Comparison Analysis
• Space Consolidation Scenarios
• Cash and GAAP Perspectives
• Impact of Purchase or Lease Transactions on Financial Statements
• Comparison of Portfolio Value vs. Outstanding Obligation
• Portfolio Analysis vs. Business Strategy
• Own vs. Lease Decision
• Operating vs. Capital Lease
• Evaluation and Assessment of Investment Opportunities
• Valuation of Individual Assets or Real Estate Portfolios
• Development Analysis and Project Financial Feasibility
• Optimal Holding Period Analysis
• Benchmarking Based on Key Measurement Metrics
• Detailed Sensitivity or What If Analysis
• Review and Preparation of Lease Abstracts
• Preparation of Detailed Cash Flows
• Market Research
1Acquisition cost of long-lived assets the following items repr.docxfelicidaddinwoodie
1
Acquisition cost of long-lived assets: the following items represent expenditures (or receipts) related to construction of a new home office for Lowery company.
Cost of land site, which include an old apartment building appraised at $75,000 $165,000
Legal fees, including fee for title search $2100
Payment of apartment building mortgage and related interest due at time of sale $9300
Payment for delinquent property taxes assumed by the purchaser $4000
Cost of razing the apartment building $17,000
Proceeds from sale of salvaged materials ($3800)
Grading to establish proper drainage flow on land site $1900
Architects fee on new building $300,000
Proceeds from sales of excess dirt (from basement excavation) to owner of adjoining property (that was used to fill in a low area on property) ($2000)
Payment to building contractor $5,000,000
Payment of medical bills of employee accidentally injured while inspecting building construction
$1400
Special assessment for paving city sidewalks (paid to city) $18,000
Cost of paving driveway parking lot $25,000
Cost of installing lights in parking lot $9200
Premium for insurance on building during construction $7500
Cost of open house party to celebrate the opening of new building $8000
Required
From the given data, calculate the proper balances for land, building, and land improvements accounts of Lowery Company.
2
Depreciation method: on January 2, Roth Inc. purchased a laser cutting machine to be used in the fabrication of a part for one of its key products. The machine cost $80,000, and its estimated useful life was four years or 1 million cuttings, after which it could be sold for $5000.
Required
Calculate the depreciation expense for each year of the machines useful life under each of the following depreciation methods:
a. straight-line
b. double declining balance
c. Units of production. Assume annual production and cuttings of:
a. 200,000
b. 350,000
c. 260,000
d. 190,000
3
Depreciation method: on January 2, 2012, Alvarez Company purchased an electroplating machine to help manufacture a part for one of its key products. The machine cost $218,700 and was estimated to have a useful life of six years or 700,000 pleadings, after which it could be sold for $23,400.
Required
a. calculate each year’s depreciation expense for the period 2012-2017 under each of the following depreciation methods:
1. straight-line
2. double declining balance
3. Units of production. (Assume annual production in pleadings of:
i. 140,000
ii. 180,000
iii. 100,000
iv. 110,000
v. 80,000
vi. 90,000
b. Assume that the machine was purchased on September 1, 2012. Calculate each year’s depreciation expense for the period 2012 through 2018 under each of the following depreciation methods:
1. straight-line
2. double declining balance
4
Accounting for planting and intangible assets: selected transactions of Continental publishers Inc., ...
Summary of the main features and rational of the hospital do suburbio bidding...Mauricio Portugal Ribeiro
The bidding procedure for the Hospital do Suburbio project has 6 phases aimed at selecting the best bidder based on technical and financial qualifications. It begins with evaluating bid bonds, then technical proposals focusing on past hospital management experience, followed by commercial proposals and auction. The top 3 bidders then submit qualification documents. Key requirements to sign the contract include performance bonds and equity contributions ensuring financial strength. The procedure and evaluation criteria were designed based on the project objectives and characteristics of the Brazilian healthcare market.
TEST BANK For Auditing & Assurance Services A Systematic Approach, 11th Editi...Donc Test
TEST BANK For Auditing & Assurance Services A Systematic Approach, 11th Edition & 12th Edi.pdf
TEST BANK For Auditing & Assurance Services A Systematic Approach, 11th Edition & 12th Edi.pdf
Saifullah Khalid has over 15 years of experience as a senior quantity surveyor for civil construction projects in Saudi Arabia and the UAE. He has worked on large-scale projects such as airports, hospitals, and residential/commercial developments. His responsibilities include cost estimation and control, contract administration, payment applications, and managing project budgets and schedules. Currently he works in Saudi Arabia on a $10 billion security facilities project for the Ministry of Interior.
The document discusses Bills of Quantities (BOQ), which are schedules that categorize, detail, and quantify materials and costs for construction projects. A BOQ is an important communication tool between clients, consultants, and contractors that provides estimated costs, defines the scope of work, and establishes a basis for cost valuation and contract payments. It generally includes item descriptions, units, quantities, rates, and amounts in a tabular format. BOQs help standardize bidding, financial administration, and valuation of variations throughout the project lifecycle.
Week 4 Homework QuestionsQuestions 1 and 2 were taken directly f.docxco4spmeley
Week 4 Homework Questions
Questions 1 and 2 were taken directly from the text and I am aware that the answers are available through an internet search.
I want to remind you that searching the internet for the answers and using those answers is a violation of UMUC academic integrity policies.
In addition, using any outside source without citation is plagiarism.
However, just gaining access to the answers will not satisfy the homework assignment because I have added the requirement that you explain your answers, which cannot be found on the internet and needs to be reasoned out from the material in the chapter.
In grading, I will place more emphasis you explanation than your selection of the correct alternative.
1)
The following are several multiple choice questions adapted from the CPA exam that concern the persuasiveness of evidence.
For each question, selected the best answer and then explain why it is better than all the alternatives.
Your explanations should address all the possible alternatives presented in the question.
a)
Which of the following types of documentary evidence should the auditor considered to be the most reliable and why?
i)
A sales invoice issued by the client and supported by a delivery receipt from an outside trucker.
ii)
Confirmation of an account payable balance mailed by and returned directly to the auditor.
iii)
A check, issued by the company and bearing the payee's endorsement, that is included with the bank statements mailed directly to the auditor.
iv)
An audit schedule prepared by the client's controller and reviewed by the client's treasurer.
Answer:
Explanation
:
b)
Which of the following statements concerning audit evidence is true?
i)
To be appropriate, audit evidence should be either persuasive or relevant, but need not be reliable.
ii)
The measure of the quantity and quality of audit evidence lies in the auditor's judgment.
iii)
The difficulty and expense of obtaining audit evidence concerning an account balance is a valid basis for omitting the test.
iv)
A client's accounting records can be sufficient audit evidence to support the financial statements.
Answer:
Explanation
:
c)
Audit evidence can come in different forms with different degrees of persuasiveness.
Which of the following is the least persuasive type of evidence?
i)
Vendor's invoice
ii)
Bank statement obtained from the client
iii)
Computations made by the auditor
iv)
Prenumbered sales invoices
Answer:
Explanation
:
d)
Which of the following presumptions is correct about the reliability of audit evidence?
i)
Information obtained indirectly from outside sources is the most reliable audit evidence.
ii)
To be reliable, audit evidence should be convincing rather than merely persuasive.
iii)
Reliability of audit evidence refers to the amount of corroborative evidence obtained.
iv)
Effective internal control provides more assurance about the reliability of audit evidence.
Answer:
Explanation
:
2)
T.
The document contains a review test with 56 multiple choice questions covering various topics in mortgage lending such as loan applications, appraisals, income and debt calculations, flood insurance requirements, and compliance with laws such as the Truth in Lending Act and Equal Credit Opportunity Act. The questions test knowledge of key terms, ratios, and guidelines used in the origination and underwriting process.
Contractual claims such as extensions of time with cost claims were ranked as the most important factor causing cost overruns in residential construction projects in India, according to a survey and analysis conducted in Satara City. Inadequate planning and additional work requested by owners were also among the top three factors. The study identified 29 potential causes of cost overruns through literature review and surveyed construction professionals to determine the relative importance of each factor and rank them, with contractual claims found to be the most significant contributor to costs exceeding original budgets on residential building projects.
The document is a valuation report for a residential flat located at FULL ADDRESS in Mumbai. It provides details of the property such as location, building details, unit details, surrounding locality, valuation methodology and comparable market transactions. It values the 596 sqft 2 BHK flat at Rs. 71,57,000 based on a market rate of Rs. 12500 per sqft for the area. It also provides the ready reckoner rate valuation of Rs. 66,00,000 and notes that the forced sale and distress values would be lower than the estimated market value.
A Review of Cost overruns in Construction Project Managementijsrd.com
In construction industry cost is amongst the major considerations throughout the project management life cycle and thus can be regarded as one of the most important parameter of a project and the driving force of project success. Despite of its proven importance it is not uncommon to see a construction project failing to achieve its objectives within the specified cost. Cost overrun is a very frequent phenomenon and is almost associated with nearly all projects in the construction industry. In this paper different type of cost are enlisted and due to the effect of cost overruns enumerated in building projects. Effects Cost overruns are decrease in the building projects so, different methods are used the analysis cost overruns factors and give the top ten ranks.
This document provides a summary of the financial analysis conducted to evaluate a developer's proposal for a housing privatization project. It discusses the evaluation of the project's financing strategy, financial viability, and the financial qualifications of the developer. Key areas of analysis included assessing the reasonableness of cost assumptions, financing terms, funding sources, debt coverage ratios, escrow accounts for maintenance, and the developer's ability to contribute equity based on financial statements. Ratings were then assigned to the developer's proposal based on their strengths and weaknesses in these financial factors.
The document outlines a county policy to establish a Coastal Canal Grant Program to promote navigation of coastal canals. It provides that available grant funds will be awarded on a minimum 2:1 matching basis, with no recipient receiving over $50,000 annually. Applications will be evaluated by staff on criteria like improved navigability and leveraging of funds. Staff recommendations will be forwarded to the Board of County Commissioners for final approval and discretion over funding decisions. Eligible projects include dredging of canal waterways, and applicants must meet requirements around location, matching funds, permits, use of licensed contractors, and completion timeline.
The examiner provides comments on student performance on the DipIFR exam from June 2010. In general, performance was superior to recent exams, with candidates performing well on questions one and two. However, a minority of candidates performed well below passing standards. For question one on preparing a consolidated statement of financial position, most candidates consolidated the subsidiary correctly but some incorrectly tried to consolidate the associate. For question two on preparing financial statements from a trial balance, most did well but some struggled with deferred tax implications of a property revaluation. Question three on impairing financial assets and accounting for leases and foreign currency transactions was answered poorly, particularly part a on impairments. Question four on revenue recognition principles was answered satisfactorily. Question
The document discusses procurement methods for construction projects, comparing the traditional lowest-bid approach to the best value (BV) approach. It outlines that the traditional approach can lead to lower quality work, cost and time overruns, and legal issues. The BV approach selects contractors based on performance metrics rather than price alone, aiming to identify the most qualified contractor. Key advantages of BV include minimizing risk and nonperformance by focusing on contractor expertise. Disadvantages of the traditional approach include poor outcomes from contractors focusing solely on lowering price.
The document discusses demand and supply factors that affect real estate prices in Chennai, India. It explains:
1) The law of demand and supply - as price increases, demand decreases and supply increases. Real estate demand depends on factors like income, price, availability of credit, and preferences.
2) Supply of real estate depends on price, availability of land, builders, credit access, and labor. The supply curve slopes upward as quantity supplied increases with price.
3) Major demand factors that can increase real estate prices include location, amenities, infrastructure, commercial development, income, land availability, affordability, property structure, and customization. Supply factors like limited available properties can also increase prices.
Analysis of Optimum Bid and Contractor’s Effort in Obtaining ProfitAI Publications
The government in Bali Province, Indonesia offers a limited number of projects, even during 2018-2020 it has decreased by 32% annually. The limited number of projects makes contractors compete to submit low-value bids. That phenomenon raises a question of what the optimal construction bidding for contractors is. A bid could be defined as optimum when it provides both of winning opportunity and the expected profit. Optimum bid analysis was carried out using the Friedman method, where it was discovered that the optimum value of construction bidding is in the range of 1%-9% mark-up or bidding at 76.21%-82.25% of the owner’s estimate. Based on a review of projects throughout 2021, only 19% of projects were won with an optimum value but the quality and quantity of the results remained good according to the agreed contract and was acceptable to the owner. The contractor needs to formulate efforts to maintain the targeted profit margin from the bid value that has been submitted. The factor analysis method is used to find the main factors that affect the profit margins expected by the contractor, where it is found that the Financial-Coordination Factor is the main factors that must be considered. The semi-structured interview method is also used to obtain the right implementation strategy in order to strengthen indicators related to Finance-Coordination factor, such as: smooth payment processing from the owner, good internal communication, safe environment, skilled workforce, proper site conditions, cooperation with suppliers, and good response from the community.
The document provides the solutions to ACC 492 Final Exam questions. It begins with identifying the link to download the full exam solutions and contact information. It then lists 30 multiple choice questions from the exam along with the corresponding answers. The questions cover topics like internal controls, audit objectives, audit procedures, subsequent events, professional ethics, and auditor liability.
The document provides the solutions to ACC 492 Final Exam questions. It begins with identifying the link to download the full exam solutions and contact information. It then lists 30 multiple choice questions from the exam along with the corresponding answers. The questions cover topics like internal controls, audit objectives, audit procedures, subsequent events, professional ethics, and auditor liability.
This real estate financial consulting book lists / exhibits some of the advisory work we typically do.
• Evaluation of Lease, Sublease, Purchase, or Sale-Leaseback
• Occupancy Cost Analysis
• Lease Comparison Analysis
• Space Consolidation Scenarios
• Cash and GAAP Perspectives
• Impact of Purchase or Lease Transactions on Financial Statements
• Comparison of Portfolio Value vs. Outstanding Obligation
• Portfolio Analysis vs. Business Strategy
• Own vs. Lease Decision
• Operating vs. Capital Lease
• Evaluation and Assessment of Investment Opportunities
• Valuation of Individual Assets or Real Estate Portfolios
• Development Analysis and Project Financial Feasibility
• Optimal Holding Period Analysis
• Benchmarking Based on Key Measurement Metrics
• Detailed Sensitivity or What If Analysis
• Review and Preparation of Lease Abstracts
• Preparation of Detailed Cash Flows
• Market Research
1Acquisition cost of long-lived assets the following items repr.docxfelicidaddinwoodie
1
Acquisition cost of long-lived assets: the following items represent expenditures (or receipts) related to construction of a new home office for Lowery company.
Cost of land site, which include an old apartment building appraised at $75,000 $165,000
Legal fees, including fee for title search $2100
Payment of apartment building mortgage and related interest due at time of sale $9300
Payment for delinquent property taxes assumed by the purchaser $4000
Cost of razing the apartment building $17,000
Proceeds from sale of salvaged materials ($3800)
Grading to establish proper drainage flow on land site $1900
Architects fee on new building $300,000
Proceeds from sales of excess dirt (from basement excavation) to owner of adjoining property (that was used to fill in a low area on property) ($2000)
Payment to building contractor $5,000,000
Payment of medical bills of employee accidentally injured while inspecting building construction
$1400
Special assessment for paving city sidewalks (paid to city) $18,000
Cost of paving driveway parking lot $25,000
Cost of installing lights in parking lot $9200
Premium for insurance on building during construction $7500
Cost of open house party to celebrate the opening of new building $8000
Required
From the given data, calculate the proper balances for land, building, and land improvements accounts of Lowery Company.
2
Depreciation method: on January 2, Roth Inc. purchased a laser cutting machine to be used in the fabrication of a part for one of its key products. The machine cost $80,000, and its estimated useful life was four years or 1 million cuttings, after which it could be sold for $5000.
Required
Calculate the depreciation expense for each year of the machines useful life under each of the following depreciation methods:
a. straight-line
b. double declining balance
c. Units of production. Assume annual production and cuttings of:
a. 200,000
b. 350,000
c. 260,000
d. 190,000
3
Depreciation method: on January 2, 2012, Alvarez Company purchased an electroplating machine to help manufacture a part for one of its key products. The machine cost $218,700 and was estimated to have a useful life of six years or 700,000 pleadings, after which it could be sold for $23,400.
Required
a. calculate each year’s depreciation expense for the period 2012-2017 under each of the following depreciation methods:
1. straight-line
2. double declining balance
3. Units of production. (Assume annual production in pleadings of:
i. 140,000
ii. 180,000
iii. 100,000
iv. 110,000
v. 80,000
vi. 90,000
b. Assume that the machine was purchased on September 1, 2012. Calculate each year’s depreciation expense for the period 2012 through 2018 under each of the following depreciation methods:
1. straight-line
2. double declining balance
4
Accounting for planting and intangible assets: selected transactions of Continental publishers Inc., ...
Summary of the main features and rational of the hospital do suburbio bidding...Mauricio Portugal Ribeiro
The bidding procedure for the Hospital do Suburbio project has 6 phases aimed at selecting the best bidder based on technical and financial qualifications. It begins with evaluating bid bonds, then technical proposals focusing on past hospital management experience, followed by commercial proposals and auction. The top 3 bidders then submit qualification documents. Key requirements to sign the contract include performance bonds and equity contributions ensuring financial strength. The procedure and evaluation criteria were designed based on the project objectives and characteristics of the Brazilian healthcare market.
TEST BANK For Auditing & Assurance Services A Systematic Approach, 11th Editi...Donc Test
TEST BANK For Auditing & Assurance Services A Systematic Approach, 11th Edition & 12th Edi.pdf
TEST BANK For Auditing & Assurance Services A Systematic Approach, 11th Edition & 12th Edi.pdf
Saifullah Khalid has over 15 years of experience as a senior quantity surveyor for civil construction projects in Saudi Arabia and the UAE. He has worked on large-scale projects such as airports, hospitals, and residential/commercial developments. His responsibilities include cost estimation and control, contract administration, payment applications, and managing project budgets and schedules. Currently he works in Saudi Arabia on a $10 billion security facilities project for the Ministry of Interior.
The document discusses Bills of Quantities (BOQ), which are schedules that categorize, detail, and quantify materials and costs for construction projects. A BOQ is an important communication tool between clients, consultants, and contractors that provides estimated costs, defines the scope of work, and establishes a basis for cost valuation and contract payments. It generally includes item descriptions, units, quantities, rates, and amounts in a tabular format. BOQs help standardize bidding, financial administration, and valuation of variations throughout the project lifecycle.
Week 4 Homework QuestionsQuestions 1 and 2 were taken directly f.docxco4spmeley
Week 4 Homework Questions
Questions 1 and 2 were taken directly from the text and I am aware that the answers are available through an internet search.
I want to remind you that searching the internet for the answers and using those answers is a violation of UMUC academic integrity policies.
In addition, using any outside source without citation is plagiarism.
However, just gaining access to the answers will not satisfy the homework assignment because I have added the requirement that you explain your answers, which cannot be found on the internet and needs to be reasoned out from the material in the chapter.
In grading, I will place more emphasis you explanation than your selection of the correct alternative.
1)
The following are several multiple choice questions adapted from the CPA exam that concern the persuasiveness of evidence.
For each question, selected the best answer and then explain why it is better than all the alternatives.
Your explanations should address all the possible alternatives presented in the question.
a)
Which of the following types of documentary evidence should the auditor considered to be the most reliable and why?
i)
A sales invoice issued by the client and supported by a delivery receipt from an outside trucker.
ii)
Confirmation of an account payable balance mailed by and returned directly to the auditor.
iii)
A check, issued by the company and bearing the payee's endorsement, that is included with the bank statements mailed directly to the auditor.
iv)
An audit schedule prepared by the client's controller and reviewed by the client's treasurer.
Answer:
Explanation
:
b)
Which of the following statements concerning audit evidence is true?
i)
To be appropriate, audit evidence should be either persuasive or relevant, but need not be reliable.
ii)
The measure of the quantity and quality of audit evidence lies in the auditor's judgment.
iii)
The difficulty and expense of obtaining audit evidence concerning an account balance is a valid basis for omitting the test.
iv)
A client's accounting records can be sufficient audit evidence to support the financial statements.
Answer:
Explanation
:
c)
Audit evidence can come in different forms with different degrees of persuasiveness.
Which of the following is the least persuasive type of evidence?
i)
Vendor's invoice
ii)
Bank statement obtained from the client
iii)
Computations made by the auditor
iv)
Prenumbered sales invoices
Answer:
Explanation
:
d)
Which of the following presumptions is correct about the reliability of audit evidence?
i)
Information obtained indirectly from outside sources is the most reliable audit evidence.
ii)
To be reliable, audit evidence should be convincing rather than merely persuasive.
iii)
Reliability of audit evidence refers to the amount of corroborative evidence obtained.
iv)
Effective internal control provides more assurance about the reliability of audit evidence.
Answer:
Explanation
:
2)
T.
The document contains a review test with 56 multiple choice questions covering various topics in mortgage lending such as loan applications, appraisals, income and debt calculations, flood insurance requirements, and compliance with laws such as the Truth in Lending Act and Equal Credit Opportunity Act. The questions test knowledge of key terms, ratios, and guidelines used in the origination and underwriting process.
Contractual claims such as extensions of time with cost claims were ranked as the most important factor causing cost overruns in residential construction projects in India, according to a survey and analysis conducted in Satara City. Inadequate planning and additional work requested by owners were also among the top three factors. The study identified 29 potential causes of cost overruns through literature review and surveyed construction professionals to determine the relative importance of each factor and rank them, with contractual claims found to be the most significant contributor to costs exceeding original budgets on residential building projects.
The document is a valuation report for a residential flat located at FULL ADDRESS in Mumbai. It provides details of the property such as location, building details, unit details, surrounding locality, valuation methodology and comparable market transactions. It values the 596 sqft 2 BHK flat at Rs. 71,57,000 based on a market rate of Rs. 12500 per sqft for the area. It also provides the ready reckoner rate valuation of Rs. 66,00,000 and notes that the forced sale and distress values would be lower than the estimated market value.
1. Edmonton Composite Assessment Review Board
Citation: Colliers International Realty Advisors Inc. for Luxor Land Ltd. v The City of
Edmonton, 2016 ECARB 01356
Assessment Roll Number: 10087396
Municipal Address: 10818 Jasper Avenue NW
Assessment Type: Annual New
2016 Assessment: $85,923,500
Between:
Colliers International Realty Advisors Inc. for Luxor Land Ltd.
Complainant
and
The City of Edmonton, Assessment and Taxation Branch
Respondent
DECISION OF
Shannon Boyer, Presiding Officer
Jack Jones, Board Member
Jasbeer Singh, Board Member
Procedural Matters
[1] The Board stated that it had no bias with respect to this file. The parties stated that they
had no objection to the Board’s composition.
[2] The witnesses were either sworn in or affirmed at the request of the Respondent’s
counsel.
[3] The parties agreed that evidence regarding vacancy rate would be carried forward from
the hearing in Roll 2702538.
Background
[4] The subject property (subject) is a high rise office building known as the Intact Building.
Constructed in 1991 and located in the Government district of Edmonton, it is classified by the
City of Edmonton as a Class BB office building and assessed on the income approach to value
using a capitalization rate of 6.25%. The total building area of 233,160 square feet (sf) includes
214,679 sf of office space, 4,372 sf of CRU 1,001 to 3,000 sf, 3,568 sf of CRU- 3,001 to 5,000,
10,541 sf of CRU > 10,001 sf, 161 underground parking stalls and 24 surface parking stalls.
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2. Issues
[5] Is the 2016 assessment of the subject property at $85,923,500 correct?
Position of the Complainant
[6] The Complainant challenged the 2016 assessment of the subject property based on the
correctness of :
1) The application of a 5% vacancy rate.
2) The application of a 6.25% capitalization (cap) rate.
[7] In support of a requested revision to the vacancy rate from the assessed value of 5% to
10%, the Complainant presented a graph representing historic vacancy data from two sources,
Colliers and Avison Young. At the valuation date the Avison Young vacancy rate for “B’ class
office space was 17.1% and Collier’s was 10.92% with an average of 14.01%.
[8] The Complainant argued that the 5% vacancy rate utilized by the Respondent in the
assessment had been developed through a flawed analysis. Specifically, the study included owner
occupied properties, which had little or no vacancy and do not compete on the market. The study
also excluded chronically vacant properties, therefore skewing the vacancy study results
downward and not truly representing the market.
[9] The Complainant also presented a 2014 CARB decision in support of revising the
vacancy rate based on utilizing third party data.
[10] In rebuttal, the Complainant presented the Respondent’s vacancy study revised to exclude
owner occupied buildings and to include the chronically vacant properties. The revised
calculations resulted in averaged vacancy rates of 8.3% to 14.3%. It was argued that this further
supports the requested revised vacancy rate of 10%.
[11] In support of a requested revision to the cap rate from 6.25% to 6.75% the Complainant
presented the 2016 valuation rates used by the City of Edmonton to show that all other “B” class
buildings (BH & BL) have a 6.75% cap rate whereas the 6.25% rate applied to the subject has
been used for “A” class buildings (AH & AL). Since the subject is a “B” class building with
fewer amenities than an “A” class building, it should be afforded the higher cap rate.
[12] In summary, the Complainant requested the assessment components for vacancy and cap
rate be revised to 10% and 6.75% respectively, and that the total assessment be reduced from
$85,923,500 to $73,511,000.
Position of the Respondent
[13] The Respondent outlined the mass appraisal methodology used in assessing office
buildings, focusing in particular on the development of vacancy allowances and cap rates, in the
development of typical market rents in determining market value. The Respondent noted that a
property that experiences a vacancy greater than 10% for three consecutive years is considered as
chronically vacant and a stabilized vacancy rate is applied based on a scale from 10 to 30%. The
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3. Respondent also elaborated on the building classification criteria surrounding the subject's BB
classification.
[14] In support of a typical 5% vacancy rate, the Respondent provided a vacancy study of all
“B” class buildings in the downtown inventory. The average vacancy was 7.19% and the median
was 0%. Chronically vacancy properties are considered atypical and are excluded from the study
because vacancy is not due to typical market conditions, but due to circumstances such as
extensive renovations, upgrades, management issues, and obsolescence, which set them apart
from the rest of the rental inventory.
[15] The Respondent critiqued the Complainant’s use of third party data to determine a
vacancy rate because the data may exclude owner occupied properties and include chronically
vacant properties and new properties that may be on the market in the near future but are not
necessarily available as of the valuation date. Using these parameters, the vacancy rate may be
inflated. Each data source also has a different reference inventory and different criteria as to
building sizes in their analysis.
[16] The Respondent also presented a fairness and equity chart to illustrate that a 5% vacancy
rate had been applied to all downtown “BB” office buildings, except those categorized as
chronically vacant.
[17] The Respondent referenced a 2015 CARB decision concerning vacancy rates and the use
of third party data.
[18] In support of a 6.25% cap rate for the subject property the Respondent noted that
buildings in the BB class have typically undergone extensive retrofitting, making them more
desirable and thus exhibiting less risk as illustrated by the subject’s average vacancy over the last
three years of only 2.15%. The main variance between “BB” and lower end “A” buildings is
size.
[19] To further illustrate this point the Respondent provided third party data noting that two
sources rated the subject as a class “A” property. Marketing information concerning the subject’s
properties amenities was also presented.
[20] The Respondent’s fairness and equity chart also indicated that all “BB” office space in
the downtown inventory had been assessed with a 6.25% cap rate.
[21] In summary, the Respondent requested the 2016 assessment of the subject property be
confirmed at $85,923,500.
Decision
[22] The decision of the Board is to confirm the 2016 assessment of the subject property at
$85,923,500.
Reasons for the Decision
[23] The Board is not convinced by the Complainant’s evidence that the typical rate in the
Government District exceeds 5%.
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4. [24] The parties disagree whether owner occupied properties and chronically vacant properties
should be used to determine typical vacancy rates. The Complainant did not present evidence to
support the argument that properties in the Respondent’s study with a 0.00% vacancy rate are
owner occupied. The Complainant did not present evidence to establish that the assessment is
incorrect because the Respondent included owner occupied properties and excluding properties
deemed to be chronically vacant, in their methodology to determine the typical vacancy rate.
[25] The Board finds that the most accurate analysis regarding vacancy allowance was
presented by the Respondent because it included the vacancy data from a wide array of buildings
similar to the subject, in the same market area as the subject.
[26] The Board placed less weight on the Complainant’s third party vacancy analysis as there
was a significant variance in the results (17.10% vs 10.92%), it included space available for
sublease as well as property available for lease in the future (property under construction).
Further, the analysis used physically vacant space, rather than contractually vacant space. In
addition each source had a different property data base, different criteria and different property
classification methods than those utilized by each other as well as by the Respondent.
[27] The Board determined that the 5% vacancy allowance applied within the 2016
assessment is an accurate representation of the typical market place for the subject’s building
classification and location.
[28] With respect to the cap rate, the Board noted that the Complainant did not provide any
market support for a revision and relied on an equity argument, implying that the assessed cap
rate was inequitable, as it was the same rate applied to some “A” class buildings.
[29] The Board finds that a 6.25% cap rate is equitable when compared to other properties that
shared the subject’s “BB” building classification and location. The Respondent demonstrated
that the “BB” classification of the subject was on the borderline with the lower end “A”
properties, so the fact that they share a cap rate is reasonable.
[30] The Board finds that the 2016 assessment of the subject property at $85,923,500 is fair
and equitable.
Heard August 31, 2016.
Dated this 14th
day of September, 2016, at the City of Edmonton, Alberta.
_________________________________
Shannon Boyer, Presiding Officer
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5. Appearances:
Stephen Cook, Colliers International
for the Complainant
Andrel Wisdom, Assessor, City of Edmonton
Cameron Ashmore, Counsel
for the Respondent
This decision may be appealed to the Court of Queen’s Bench on a question of law or
jurisdiction, pursuant to Section 470(1) of the Municipal Government Act, RSA 2000, c M-26.
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6. Appendix
Legislation
The Municipal Government Act, RSA 2000, c M-26, reads:
s 1(1)(n) “market value” means the amount that a property, as defined in section
284(1)(r), might be expected to realize if it is sold on the open market by a willing seller
to a willing buyer;
s 467(1) An assessment review board may, with respect to any matter referred to in
section 460(5), make a change to an assessment roll or tax roll or decide that no change is
required.
s 467(3) An assessment review board must not alter any assessment that is fair and
equitable, taking into consideration
(a) the valuation and other standards set out in the regulations,
(b) the procedures set out in the regulations, and
(c) the assessments of similar property or businesses in the same municipality.
Exhibits
C-1 Complainant Brief (56 pages)
C-2 Rebuttal (6 pages)
R-1 Assessment Brief (82 pages)
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