Real Estate Math

A Texas property generates monthly rents of $4,800. Operating expenses are $1,920 per month. What is the annual NOI?

A$32,640

B$34,560✓ Correct

C$38,400

D$40,000

Explanation

Monthly NOI = $4,800 − $1,920 = $2,880. Annual NOI = $2,880 × 12 = $34,560.

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