Real Estate Math
A property depreciates $6,000 per year. It was purchased for $210,000, and the land was valued at $50,000. After 5 years, what is the depreciated value of the improvements?
A$130,000✓ Correct
B$150,000
C$160,000
D$180,000
Explanation
Building value = $210,000 − $50,000 = $160,000. Total depreciation over 5 years = $6,000 × 5 = $30,000.
Related Arkansas Real Estate Math Questions
- A commercial property costs $900,000. Annual NOI is $72,000. What is the cap rate?
- A property has a GRM of 130. The monthly rent is $1,200. What is the estimated market value?
- A property sold for $198,000. Transfer taxes are $3.30 per $1,000 of purchase price. What are the transfer taxes?
- A 1031 (like-kind) exchange requires the replacement property to be identified within how many days of the sale?
- A buyer pays $10,500 in closing costs on a $350,000 purchase. What percentage of the purchase price are the closing costs?
- A lot is 100 feet wide and 200 feet deep, priced at $8.50 per square foot. What is the price?
- Property taxes are paid in arrears in Arkansas. A property sells with a closing date of September 30. The annual taxes are $3,600. How much does the seller owe in prorated taxes?
- A house has 1,800 sq ft of gross living area. Two comparable homes sold at an average of $145 per sq ft. What is the estimated value of the subject?
Practice More Arkansas Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Arkansas Quiz →