Answer:
$363,000
Explanation:
Calculation for the property’s indicate market value.
First step
Operating Statement
PGI: $66,000
(10 units x $550 x 12 month )
Less: Vacancy Loss(3,300)
(5%*66,000)
EGI:62,700
Less: Operating Expenses
Power$2,200
Heat1,700
Janitor4,600
Water3,700
Maintenance4,800
Management3,000
Reserve for CAPX2,800
Total Operating Expenses$22,800
Net Operating Income$39,900
(62,700-22,800)
Second step is to find the property’s indicate market value.
Using this formula
Market Value=NOI/ Ro
Let plug in the formula
Market Value=$39,900/11.0%
Market Value=$363,000
Therefore the property’s indicate market value is
$363,000
When the Federal Reserve wants to increase the money supply, it will purchase bonds from banks.
<h3>What is Federal Reserve?</h3>
It should be noted that the Federal Reserve controls the monetary aspect in an economy.
In this case, when the Federal Reserve wants to increase the money supply, it will purchase bonds from banks.
Also, when the Fed wants to decrease the money supply, the thing that should be done will be to sell bonds.
Learn more about Federal Reserve on:
brainly.com/question/25817380
