If the case gives the distribution goal (say 4.5%), and the minimum payout (4%) to maintain tax exempt. Also given are management fee (say 0.5%).
It ask you to compute the return objective.
In this case, do you compute for both 4.5% and 4% and state one is desired and one is the minimum? Is it necessary?
On a real exam, is the goal based on 4.5% solely enough?