22) Consider the table. Assume that the subject property has effective gross income of $53,000 and a NOI of $27,500. What value would a cap rate approach yield (rounded to the nearest $100)? Price Comp 1 Comp 2 Comp 3 $300,000 $350,000 $375,000 50% 55% 54% Effective gross income 50,000 55,000 60,000 % operating expense NOI A) $322,600 B) $325,600 $ 25,000 $30,000 $ 32,500 C) $328,600 D) $330,000
22) Consider the table. Assume that the subject property has effective gross income of $53,000 and a NOI of $27,500. What value would a cap rate approach yield (rounded to the nearest $100)? Price Comp 1 Comp 2 Comp 3 $300,000 $350,000 $375,000 50% 55% 54% Effective gross income 50,000 55,000 60,000 % operating expense NOI A) $322,600 B) $325,600 $ 25,000 $30,000 $ 32,500 C) $328,600 D) $330,000
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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![22) Consider the table. Assume that the subject property has effective gross income of $53,000
and a NOI of $27,500. What value would a cap rate approach yield (rounded to the nearest
$100)?
Price
Comp 1 Comp 2 Comp 3
$300,000 $350,000 $375,000
50%
55%
54%
Effective gross income 50,000 55,000 60,000
% operating expense
NOI
A) $322,600
B) $325,600
$ 25,000 $30,000 $ 32,500
C) $328,600
D) $330,000](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F0ff2c953-8e50-4a48-bf73-b8391315f95c%2F23a88a3b-7e42-4db0-b2df-2abcf7542054%2Fy6snac_processed.png&w=3840&q=75)
Transcribed Image Text:22) Consider the table. Assume that the subject property has effective gross income of $53,000
and a NOI of $27,500. What value would a cap rate approach yield (rounded to the nearest
$100)?
Price
Comp 1 Comp 2 Comp 3
$300,000 $350,000 $375,000
50%
55%
54%
Effective gross income 50,000 55,000 60,000
% operating expense
NOI
A) $322,600
B) $325,600
$ 25,000 $30,000 $ 32,500
C) $328,600
D) $330,000
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