The money that property owners invest and spend on improvements is called a capital investment.

Company profits are distributed to shareholders in the form of ______________.

Which of the following is a typical expense associated with owning real estate?

By investing in many companies, mutual funds increase the chance of buying stocks that will be

Which of the following is an example of a capital investment in real estate?

Which of the following is true about withdrawing funds from a traditional IRA?

William purchased 400 shares of a stock selling for $18.25 a share.  His broker charged him $178 in commission.  What was the total cost of the stock to Leonard?

Total cost =(number of shares x price of each share) + commission

You invest in 400 shares of Lerner Windows stock and receive a semiannual dividend of $0.98 a share. At that rate, what will be your annual income from the investment?

Annual income = number of shares X dividend per share X how many times per year

A mutual fund has a net asset value of $12.23 and an offer price of $12.98.  What is the rate of commission, to the nearest tenth percent?

Rate of commission= (offer price $$-$$ net asset value price) $$\div$$ offer price X 100

An investor bought 1,000 shares of Eagle Health mutual at $6.12 a share. She then sold the shares a year later for $7.56. What was the profit or loss the investor made on the investment?

Profit = Net proceeds- Total cost

Loss= Total cost -Net proceeds

Remember: Net Proceeds is total sale amount and Total Cost is total buy amount.

Last year Marta bought an apartment house that brought in $5,250 a month in rental income. Marta paid $135,000 for down payment and gave a mortgage for the rest. She paid $25,250 in mortgage interest, and other expenses, including depreciation, were $19,020 year. What was Marta’s net income?

Annual net income = Annual rental income $$-$$ Annual Expenses

Jose made a $78,000 down payment on an apartment worth $372,000. His total mortgage interest for the first year was $35,120, and other expenses totaled $17,600. In the first year, he spent $10,200 for a new porch . At the end of the first year, what was Jose's total capital investment in the apartment building?

Capital investment = Down Payment + money you spend to increase the property value

Justin is retiring at age 65. He will receive the following monthly amounts: $1,190 from his union pension and $984 from social security. He will also draw $440 a month from a private pension fund he owns. What will be his monthly retirement income?

Retirement income = Social security + Pensions

Gina is 65 and receives $900 in monthly pension from her company and $785 monthly from social security. She wants her monthly retirement income to be $3,800 a month. What percent of her$ 300,000 IRA must Gina withdraw each month to reach the monthly income she wants, to the nearest tenth percent?

Retirement income = Social security + Pensions

Amount need from IRA = Desired monthly income $$-$$ Retirement income

Percent to withdraw = Amount need from IRA $$\div$$ Amount of IRA X 100

If a company issued dividends of $2.50 per share annually, and you own 200 shares, what is the total amount of dividends you would receive?

Total income from dividend = number of shares X dividend per share X how many times per year

Lucas wants to sell his property which depreciated by 25% over the last 5 years. If he bought it for $200,000, how much is he selling it for now?