- Project Feasibility and Profitability:
Discuss ‘Breakeven point’, ‘Feasibility of the project’, and expected Rate of return on your investment
Discuss ‘Breakeven point’ = fixed costs/ (sales price per unit- variable cost per unit)
• ‘Feasibility of the project’
• Expected Rate of return on your investment
• Gross Income Multiplier: Gross scheduled income= total annual rent payable for occupied space + potential rent at market rate for vacant space
If acquiring land, then ‘Development costs/ Construction Costs’
- Your role: (Pick the one that best suits your investment and explain why)