Kuye Olusegun

A lease may be created so as to take effect either immediately or at some date in the future. If it is in to take place in the future, it is known as reversionary lease. However, there is a rule called a rule against perpetuity which requires that any future…

Return on capital measures a 'rate of return'. The main reason leading someone to an investment is making of profit. We however need to understand the meaning of the word “investment” to understand this term.

Return of capital (ROC) refers to payments back to "capital owners" (shareholders, partners, unit-holders) that exceed the growth (net income/taxable income) of a business. Investment involves the laying down of capital, which will be used to generate more income as it is being used up.

Residual value is the estimated net amount that will be received when the asset is removed from service. Residual value is defined as “the net amount that the entity expects to obtain for an asset at the end of its useful life after deducting the costs of disposal, to the…

Companies may solicit proposals from other companies through RFPs. RFP is a type of bidding solicitation in which a company or organisation announces that funding is available for a particular project or program, and companies can place bids for the project's completion. In other words, RFP is a solicitation, often…

Reproduction cost new is the current cost of reproducing a new replica of a property with the same or closely similar materials.

Reproduction cost is defined as: the cost, including material, labour, and overhead, that would be incurred in constructing an improvement having exactly the same characteristics as the original improvement. Ifediora (1993) defines reproduction as the cost of creating a replica building (considering a building here) or...

A report may be defined as a written document in which specific and objective research based information upon which a course of action or decision is taken. It could also be defined as a comprehensive account of an executed job, a consideration of an investigation from a writer to an…

Replacement cost new is the current cost new, of a similar new property having the nearest equivalent utility as the property being appraised.

Replacement cost is the cost of replacing an existing asset with a substantially identical new modern equivalent asset. When calculating depreciated replacement cost, it is expected requires that physical deterioration be taken into account and that optimisation for obsolescence and relevant surplus capacity occur.