Answer:
$89,100
Explanation:
Let us first calculate annual gross rent for Year 1:
Total rent per month:
= 2 suites at $1,800 + 1 suites at $3,600 + 5 suites at $1,560
= $3,600 + $3,600 + $7,800
= $15,000
Annual gross rent = Total rent per month × 12
= $15,000 × 12
= $180,000
Effective gross revenue = Potential gross rent revenue - Vacancy and connection losses (10% of potential gross rent)
= $180,000 - $18,000
= $162,000
Net operating income = Effective gross revenue - Operating expenses including depreciation
= $162,000 - $72,900
= $89,100
Annual gross potential rental income from a property minus expenses (vacancy and collection losses, operating expenses, replacement reserves, property taxes, and property and liability insurance) equals Effective gross income . This is further explained below.
<h3>What is
Effective gross income?</h3>
Generally, Effective gross incomeis simply defined as the total effective gross revenue equals potential gross income less vacancy and collection losses + other income.
In conclusion, Potential gross revenue minus vacancy and collection losses, plus other income, is equivalent to effective gross income.
Read more about Effective gross income
brainly.com/question/17284401
#SPJ1
The difference in operating income between processing the cat bowls further versus selling them off at the split-off point is -$1,920.
<h3>What is operating income?</h3>
Operating income is the adjusted revenue of a business after all operating costs and depreciation have been taken into account. The charges incurred to maintain the operation of the business are known as operating expenses.
Calculating the operational income difference:
After additional processing, sales income (1000*14) 14000
At the split-off point, sales revenue (1000 x 11) 11000
3000 in additional revenue
Cost Incremental -4920
Increased revenue (loss) -1920
Operating income (loss) difference = -1920
The ability of your company to make money from its operational activities is demonstrated by operating income. The operating income figure is frequently used by business owners to assess the operational success of their enterprise. Potential creditors and investors might be interested in your company's operating income.
To learn more about operating income refer to:
brainly.com/question/11110287
#SPJ4
Answer:
4.524%
Explanation:
Jackson's marginal tax rate = 22%
after tax return of Sundial Incorporated bonds = 5.8% x (1 - 22%) = 4.524%
since municipal bonds are not taxed by the federal government, in order to compare the yields we must calculate the after tax return of corporate bonds. On the other hand, federal bonds do not pay state and local taxes.
Answer:
Explanation:
Crowdfunding can be regarded as a way in which businesses can raise funds through the contribution of large number of people to the project.
SPEED AND ACCESSIBILITY
Crowdfunding helps the entrepreneur/ Businesses to get the necessary capital without passing through arduous process involving in loan collection, and this is good for small and medium companies that doesn't have enough creditworthiness in taking loan. As far as crowdfunding is concerned, no special qualifications involved in starting a crowdfunding campaign, within some hours ones page can be outlined and make visible to crowdfunding platform’s audience. There is no hunt down of specific venture capitalists.
