Real Estate Math

An Indiana property has a potential gross income of $120,000, operating expenses of $48,000, and a vacancy allowance of 6%. What is the NOI?

A$64,800✓ Correct
B$65,200
C$55,080
D$72,000

Explanation

EGI = $120,000 × (1 − 0.06) = $112,800.

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