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You are an analyst for a home building company tasked with creating a financial model of home-building trends. Which of the following factors should your model address?

a. Number of landlords per capita and home Improvement store sales
b. Automobile sales per capita and the number of visitors to a country
c. Number of for-rent property signs and the employment rate of the millennials
d. The price of wood products and long-term interest rates

Respuesta :

jepessoa

Answer:

d. The price of wood products and long-term interest rates

Explanation:

Your company builds homes and sells them. A home-building trend analysis is supposed to help you determine the number of future homes that the market will demand in the future and what type of homes will be demanded. It also should help you estimate future costs.

  • Option a) knowing the number of landlords per capita gives you an idea of which places will demand more homes in the future, but knowing the number of home improvement stores is useless.  
  • Option b) car sales have nothing to do with home sales.
  • Option c) because millennials are the future home buyers, that is your target market, so knowing their employment rate is very important. But the number of for rent signs is not significant at all. To be honest, how many for rent signs do you see on houses nowadays. Most real estate listings are made on the internet.

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