Math (Random) Flashcards
Richard owns a 2,400 square foot unit in a strata complex. There are 19 other units, the square footage of which totals 37,600 square feet. The common property has an area of 12,600 square feet. The total common expenses for the year amount to $48,000. What is Richard’s monthly share of the common expenses?
(1) $596.83
(2) $255.32
(3) $761.90
(4) $240.00
4
2400 (unit entitlement) divided by total 40,000 (total unit entitlement) X 48,000 (total contribution)
= 2,880 divided by 12 (monthly) = 240
Option (4) is correct and Options (1), (2), and (3) are incorrect because a strata lot’s contribution to an expense is calculated as the unit entitlement of the strata lot divided by the total unit entitlement of all strata lots multiplied by the total contribution. Richard’s unit entitlement is 2,400, the total unit entitlement of all strata lots is 40,000, and the total contribution is $48,000. Richard’s annual share of the common expense is $2,880, and therefore his monthly share is $240.
An investment corporation purchased an apartment building on March 31, 2003 for $2,800,000. Of that
$2,800,000, $1,700,000 was attributed to the building and $1,100,000 to the land. Depreciation was to be claimed at $50,000 per year for the life of the building. The building component of the property was valued on March 31, 2013, to be $2,400,000. What would be the net amount of the building appearing on the corporation’s Statement of Assets and Liabilities as at March 31, 2013?
(1) $1,700,000
(2) $1,200,000
(3) $2,400,000
(4) $1,900,000
2
appears to be 1700000 atributed to the building
minus
500000 depreciation ( 50,000 per year X 10)
=1,200,000
A property recently sold for $378,500. The stabilized net operating income for the property was estimated to be $75,700 per annum. The estimated yield to the buyer is:
(1) 20%
(2) 11%
(3) 5%
(4) There is insufficient information to calculate an estimated yield.
1
75,700/378,500
=20%
