Property Management

An 'operating expense ratio' in South Carolina property management is calculated as:

ANOI ÷ Gross Income
BOperating Expenses ÷ Effective Gross Income✓ Correct
CVacancy Rate × Gross Income
DNet Income ÷ Total Expenses

Explanation

Operating Expense Ratio (OER) = Operating Expenses ÷ Effective Gross Income. It shows what percentage of income is consumed by operating expenses, helping evaluate management efficiency.

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