Real Estate Math

A Delaware property has potential gross income of $120,000 per year. With a 6% vacancy rate and a 40% operating expense ratio, what is the NOI?

A$67,680✓ Correct
B$72,000
C$64,800
D$75,000

Explanation

EGI = $120,000 × (1 − 0.06) = $120,000 × 0.

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