Property Management

A Missouri commercial property manager maintaining a 'capital reserve fund' is setting aside money for:

AEmergency cash distributions to owners
BMajor long-term capital expenditures (roof replacement, HVAC systems, major structural repairs)✓ Correct
CDay-to-day operating expenses
DTenant improvement allowances

Explanation

Capital reserve funds in Missouri commercial property management set aside funds for major capital expenditures that occur infrequently but cost significantly. This prevents cash flow crises when major systems need replacement.

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