Calculate the property annual net operating income

Assignment Help Finance Basics
Reference no: EM132666817

You are interested in purchasing a property that has 4 one-bedroom units that rent for $1,950 per month each. The property generates an additional $5,000 in parking fees per year. Vacancy and collection losses are approximately 10%. Operating expenses total $37,000 per year and capital expenditures are approximately 5% of the property's effective gross income. The property is partially financed so the owner must make monthly mortgage payments of $4,000. Given the information above, calculate the property's annual net operating income (NOI).

Reference no: EM132666817

Questions Cloud

What is the call price of the bond : If East Coast calls the bonds in 7 years when the Treasury rate is 5.6 percent, what is the call price of the bond? What if it is 9.1 percent?
Establish a scholarship fund : How much would you need to gift to the university today to establish a scholarship fund that pays out $20000 in scholarships in one year and grows the scholarsh
What is bell helicopter social responsibility : What is Bell Helicopter's Social Responsibility in its manufacturing of helicopters to the City of forth worth, TX and the outlying areas?
Calculate the internal rate of return for transaction : The building is expected to sell for $2,750,000 at the end of the fourth year. Calculate the internal rate of return (IRR) for this transaction.
Calculate the property annual net operating income : The property is partially financed so the owner must make monthly mortgage payments of $4,000. Given the information above, calculate the property's annual net
Calculate the manufacturing location quotient for atlanta : According to recent employment data, Atlanta has 177,823 manufacturing jobs and a total employment of 1,912,579. For the United States, there are 12,291,676 man
What is the firm horizon or continuing-value : Holt Enterprises recently paid a dividend, D0, of $2.25. It expects to have nonconstant growth of 12% for 2 years followed by a constant rate of 7% thereafter.
Why do many carmex product prices end in nine : Why do many Carmex product prices end in 9? What type of pricing is this called? What should happen to demand when this approach is used?
Describe the effects on the risk in portfolio : If you are an investor who invests in only U.S. stocks and bonds, describe the effects on the risk in your portfolio.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd