AFP
CTP · Question #36
(Topic 1) A real estate development company has excess cash that it would like to invest in one of its properties: Property A has shown an ROI of 40%, a residual income of $25,675, and an EVA of…
The correct answer is A. Property A. See the full explanation below for the reasoning.
Question
- (Topic 1)
A real estate development company has excess cash that it would like to invest in one of its properties:
Property A has shown an ROI of 40%, a residual income of $25,675, and an EVA of $32,678. Property B has shown an ROI of 45%, a residual income of $27,635, and an EVA of $29,523. Property C has shown an ROI of 55%, a residual income of $22,658, and an EVA of $30,678. Property D has shown an ROI of 52%, a residual income of $19,675, and an EVA of $31,523. In which property should the company invest?
Options
- AProperty A
- BProperty B
- CProperty C
- DProperty D
How the community answered
(50 responses)- A76% (38)
- B4% (2)
- C8% (4)
- D12% (6)
Community Discussion
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