Real Estate Math
A property has monthly rental income of $3,500 and an operating expense ratio of 40%. What is the annual net operating income (NOI)?
A$25,200✓ Correct
B$16,800
C$42,000
D$50,400
Explanation
Annual gross income = $3,500 × 12 = $42,000. Operating expenses = $42,000 × 40% = $16,800.
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