CHAPTER 20 QUIZ 1 TO 5
1. While providing an effective hedge against inflation, real assets do not have particularly efficient liquid
markets.
True False
2. The value of real assets moves closely with the value of financial assets and therefore they provide
effective portfolio diversification.
True False
3. The value of the comparable sales approach to real estate valuation is that it is highly theoretical.
True False
4. Under some mortgage arrangement, the lender may loan the funds at a rate well below the current
market rate.
True False
5. In a real estate syndicate, a general partner has limited liability.
True False