Real Estate Math

A Wyoming rental property has monthly expenses of $1,200 (taxes, insurance, maintenance). Monthly rent is $1,800. What is the annual before-financing cash flow?

A$7,200✓ Correct
B$21,600
C$14,400
D$6,000

Explanation

Monthly cash flow before financing = $1,800 − $1,200 = $600. Annual = $600 × 12 = $7,200.

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