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AleksAgata [21]
3 years ago
13

Given the following information, calculate the effective gross income: property: 4 office units, contract rents per unit: $2,750

per month; vacancy and collection losses: 18%; operating expenses: $41,000; capital expenditures: 11%.
Business
1 answer:
Crazy boy [7]3 years ago
8 0

Answer:

the effective gross income is $117,480

Explanation:

The computation of the effective gross income is shown below:

= Gross income - vacancy income

= ($2,750 × 4 units × $12) -  ($2,750 × 12 × 4 × 11%)

= $132,000 - $14,520

= $117,480

hence, the effective gross income is $117,480

The same is to be considered and relevant

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