Real Estate Math

A duplex generates monthly rents of $1,200 and $1,350. The annual operating expenses are $8,400. What is the annual NOI?

A$12,600
B$22,200✓ Correct
C$21,000
D$14,400

Explanation

Annual gross rent = ($1,200 + $1,350) × 12 = $2,550 × 12 = $30,600. NOI = $30,600 − $8,400 = $22,200.

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