Real Estate Math

A Virginia rental property's gross scheduled income is $60,000. Vacancy is 5% and operating expenses are $22,000. What is the Net Operating Income?

A$35,000✓ Correct
B$34,000
C$38,000
D$32,000

Explanation

Effective Gross Income = $60,000 × (1 – 0.05) = $57,000.

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