Real Estate Math
A Montana broker manages a property with monthly gross rents of $6,800, vacancy of 5%, operating expenses of $2,200/month, and debt service of $2,100/month. What is the monthly cash flow after debt service?
A$2160✓ Correct
B$840
C$2,500
D$160
Explanation
Effective gross income = $6,800 - ($6,800 x 0.05) = $6,800 - $340 = $6,460.
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