Real Estate Math
A property management company charges 8% of collected rents. The monthly rent roll is $28,500 and vacancy is 10%. What is the monthly management fee?
A$2,280
B$2,052✓ Correct
C$228
D$205.20
Explanation
Collected rent = $28,500 × (1 − 0.10) = $25,650. Management fee = $25,650 × 0.08 = $2,052.
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