Property Management
The operating expense ratio (OER) is calculated as:
AOperating Expenses ÷ Effective Gross Income✓ Correct
BNet Operating Income ÷ Property Value
CGross Income ÷ Operating Expenses
DProperty Value ÷ Annual Rent
Explanation
The operating expense ratio (OER) = Operating Expenses ÷ Effective Gross Income. It measures the percentage of income consumed by operating expenses.
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