Regular rental of property between the lessee and lessor for a fee. An operating lease does not satisfy the criteria for a capital lease.
Operating leverage
Automatic increases in the net operating income or cash flow of income-producing real estate when income and expenses increase at the same rate; further enhanced when expenses are fixed.
Operating statements
Financial reports on the cash flow of a property.
Operator
An individual running or controlling a piece of machinery. Often refers to the driver of piece of excavation equipment.
Opinion of title
A certification, usually from an attorney, as to the validity of title to property being sold, after examining the abstract of title. The opinion of title is essential to obtaining title insurance, a mortgage or to the transfer of title.
Opportunity cost
A term used in economics; when taking a particular action, the loss of the value of the next best action.
Opposite
Leaf form, where the leaves are arranged in opposite pairs along the stem. Compare alternate.
Optical level
A telescope with a level that is mounted on a tripod to enable the user to sight another point at the same elevation.
Optical plummet
A device suspended below a transit allowing the operator to site the transit over a specific spot.
Optics
The science covering the behavior and characteristics of light.
