Property Valuation

An Alaska property has a gross potential income of $96,000. After deducting a 5% vacancy allowance and $32,000 in operating expenses, the NOI is:

A$54,400
B$59,200✓ Correct
C$60,800
D$64,000

Explanation

EGI = $96,000 × (1 − 0.05) = $96,000 × 0.

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