A property has a potential gross income of $2,000,000. You estimate that vacancy should be 6% and that you will need $50,000 in replacement reserves. If operating expenses are $752,000 what is your OPEX ratio for this asset?

A property has a potential gross income of $2,000,000. You estimate that vacancy should be 6% and that you will need $50,000 in replacement reserves. If operating expenses are $752,000 what is your OPEX ratio for this asset?

Intermediate Financial Management (MindTap Course List)

13th Edition

ISBN:9781337395083

Author:Eugene F. Brigham, Phillip R. Daves

Publisher:Eugene F. Brigham, Phillip R. Daves

Chapter19: Lease Financing

Section: Chapter Questions

Problem 1P: Reynolds Construction (RC) needs a piece of equipment that costs 200. RC can either lease the...

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