funds from operations

funds from operations definition - business

funds from operations

A measure of cash generated by a real estate investment trust. Funds from operations is equal to net income plus depreciation or amortization, minus gains on sales of properties. The adjustments to net income are designed to provide a better measure of a trust's real performance.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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